IMAGE  EVALUATION 
TEST  TARGET  (MT-3) 


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1.0 


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1.6 


PhotDgiHpliic 

Sciences 
Corporation 


23  WES1  MAIN  STREET 

WEBSTER,  N.Y.  14580 

(716)  873-4503 


CIHM/ICMH 

Microfiche 

Series. 


CIHM/ICMH 
Collection  de 
microfiches. 


Canadian  Institute  for  Historical  Microreproductions  /  Institut  Canadian  t.    microreproductions  historiques 


ti 


Technical  and  Bibliographic  Notes/Notes  techniques  et  bibliographiquei 


The  Institute  has  attempted  to  obtain  the  best 
original  copy  available  for  filnning.  Features  of  this 
copy  which  may  be  bibliographicaily  unique, 
which  may  alter  any  of  the  images  in  the 
reproduction,  or  which  may  significantly  change 
the  usual  method  of  filming,  are  checked  below. 


D 
D 


Coloured  covers/ 
Couverture  de  couleur 


Covers  damaged/ 
Couverture  endommagde 


Covers  restored  and/or  laminaved/ 
Couverture  restaur^ 

j      I    Cover  title  missing/ 

D 


I I    Couverture  restaurde  et/ou  pellicil^e 

□    Cover  title  missing/ 
Le  titre  de  couverture  manque 


Coloured  maps/ 

Cartes  gdoyraphiques  en  couleur 


□    Coloured  ink  (i.e.  other  than  blue  or  black)/ 
Encre  de  couleur  (i.e.  autre  que  bleue  ou  noire) 

□    Coloured  plates  and/or  illustrations/ 
Planches  et/ou  illustrations  en  couleur 


□    Poun 


Pound  with  other  material/ 


avec  d'autres  documents 


n 


□ 


□ 


Tight  binding  may  cause  shadows  or  distortion 
along  interior  margin/ 

La  reliure  serr^e  peut  causer  da  I'ombre  ou  de  la 
distortion  le  long  de  la  marge  int6rieure 

Blank  leaves  added  during  restoration  may 
appear  within  the  text.  Whenever  possible,  these 
have  been  omittod  from  filming/ 
II  se  peut  quf  certaines  pages  blanches  ajout6es 
lors  d'une  restauration  apparaissent  dans  le  texte, 
mais,  iorsque  cela  dtait  possible,  ces  pages  n'ont 
pas  6t6  f ilmdes. 

Additional  comments:/ 
Commentaires  suppldmentaires: 


L'Institut  a  microfilm^  le  moilleur  axemplaire 
qu'il  lui  a  6t6  possible  de  se  procurer.  Les  details 
ae  cet  exampiaire  qui  sont  peut-§tre  uniques  du 
point  de  vue  bibliographique,  qui  peuvent  modifier 
une  image  reproduite,  ou  qui  peuvent  exiger  une 
modification  dans  la  mdthode  ncrrnale  de  filmage 
sont  indiqu6s  ci-dessous. 


I      I    Coloured  pages/ 


Pages  de  couleur 

Pages  damaged/ 
Pages  endommagdes 

Pages  restored  and/oi 

Pages  restaur^es  et/ou  pelliculdes 

Pages  discoloured,  stained  or  foxe; 
Pag'is  ddcolordes,  tachet6es  ou  piqudes 

Pages  detached/ 
Pages  d£tach6es 

Showthrough/ 
Transparence 

Quality  of  prir 

Quality  indgale  de  I'impression 

Includes  supplementary  materii 
Comp'dnd  du  niatdriel  supplementaire 

Only  edition  available/ 
Seule  Edition  disponible 


I      I    Pages  damaged/ 

I — I    Pages  restored  and/or  laminated/ 

r~7'  Pages  discoloured,  stained  or  foxed/ 

I      j    Pages  detached/ 

I    T  Showthrough/ 

I      I    Quality  of  print  varies/ 

I      I    Includes  supplementary  material/ 

I      I    Only  edition  available/ 


D 


Pages  wholly  or  partially  obscured  by  errata 
slips,  tissues,  etc.,  nave  been  refilmed  to 
ensure  the  best  possible  image/ 
Les  pages  totalement  ou  pcrtiellement 
obscurcies  par  un  feuillet  d'errata,  une  pelure, 
etc.,  ont  6t6  filmdes  d  nouveau  de  fagon  d 
obtenir  la  meilleure  image  possible. 


This  item  is  filmed  at  the  reduction  ratio  checked  below/ 

Ce  document  est  filmd  au  taux  de  reduction  indiqud  ci-dessous. 


10X 

14X 

18X 

22X 

26X 

30X 

y\ 

12X 

16X 

20X 

24X 

28X 

32X 

[ 

%    « 


The  copy  filmed  here  has  been  reproduced  thanks 
to  the  generosity  of: 

Library  of  the  Pubiic 
Archives  of  Canada 


L'exemplaire  filmA  fut  reprodiiit  grflce  A  la 
g6n6rositA  de: 

La  bibiiothdque  des  Archives 
publiques  du  Canada 


The  images  appearing  here  are  the  best  quality 
possible  considering  the  condition  and  legibility 
of  the  original  copy  and  in  keeping  vyith  the 
filming  contract  specifications. 


Les  images  suivantes  ont  6t6  reproduites  avec  le 
plus  grand  soin,  compte  tenu  de  la  condition  et 
de  la  nettet6  de  rexemplaire  filrn^,  et  en 
conformity  avec  les  conditions  du  cor>trat  de 
fMmage. 


Original  copies  in  printed  paper  covers  are  filmed 
beginning  with  the  front  cover  and  ending  on 
the  last  page  with  a  printed  or  illustrated  impres- 
sion, or  the  back  cover  when  appropriate.  All 
other  original  cop'as  are  filmed  beginning  on  the 
first  page  with  a  printed  or  illustrated  impres- 
sion, and  ending  on  the  last  page  with  a  printed 
or  illustrated  impression. 


Les  axemplaires  originaux  dont  la  couvarture  en 
papier  est  imprim6e  sent  film6s  en  commen^ant 
par  le  premier  plat  et  en  terminant  solt  par  la 
derniire  page  qui  comporte  une  empreinte 
d'impression  on  d'illustration,  soit  par  le  second 
plat,  salon  le  cas.  Tous  les  autres  exemplaires 
originaux  sont  fiim^s  en  commen9ant  par  la 
premiere  page  qui  comporte  une  empreinte 
d'impression  ou  d'illustration  et  en  terminant  par 
la  dernlAre  page  qui  comporte  une  telle 
empreinte. 


The  last  recorded  frame  on  each  microfiche 
shall  contain  the  symbol  —»>( meaning  "CON- 
TINUED "),  or  the  symbol  V  (meaning  "END"), 
whichever  applies. 


Un  des  symboies  suivants  apparaftra  sur  la 
derniire  image  de  cheque  microfiche,  selon  le 
cas:  le  symbols  — ►  sigriifie  "A  SUIVRE",  le 
symbols  V  signifie  "FIN". 


Maps,  plates,  charts,  etc.,  may  be  filmed  at 
different  reduction  ratios.  Those  too  large  to  be 
entirely  included  in  one  exposure  are  filmed 
beginning  in  the  upper  left  hand  corner,  left  to 
right  and  top  to  bottom,  as  many  frames  as 
required.  The  following  diagrams  illustrate  the 
method: 


Les  cartes,  planches,  tableaux,  etc.,  peuvent  dtre 
film6s  d  des  taux  de  reduction  diffirents. 
Lorsque  le  document  est  trop  grand  pour  6tre 
reproduit  en  un  seul  clich6,  il  est  film6  d  partir 
de  I'angle  sup6rieur  gauche,  de  gauche  d  droite, 
et  de  haut  en  bas,  en  prenant  le  nombre 
d'images  nicessaire.  Les  diagrammes  suivants 
illustrent  la  m6thode. 


1  2  3 


1 

2 

3 

4 

5 

6 

T 


FOR 


EEPORT 


(ly 


ON 


THE   STATE  OF  TRADE 


BETWEEN  THE 


\ 


UNITED  STATES  AND  BRITISH  POSSESSIONS 


EST 


IS'ORTH    AMERICA, 


PREPARED 


FOR  THE  SECRETARY  OF  THE  TREASURY,  IN  COMPLIANCE  WITH  A  JOINT 

RESOLUTIOiN  OF  CONGRESS, 


BIT 


J.    N.    I.ARNED. 


•  > » 


^'^^. 


WA8HINGT0K: 
GOVERNMENT     PRINTING     OFFI^IE. 

1871. 


INDEX  OF  TOPICS. 


Pago. 

Natural  relations 5 

The  Dominion  of  Canada (5 

Resources  and  capabilities 7 

Comparative  area  and  population 9 

Causes  of  tardy  growth , 9 

Present  trade  with  the  Dominion 11 

Total  imi)orts  of  the  Dominion   !•* 

Imports  from  United  States 12 

Imports  from  Great  Britain 13 

Total  exports  of  the  Dominion 13 

Anal  j'dis  of  Canadian  foreign  commerce 13 

"  State  of  commercial  belligerency 14 

Exhibit  for  seventeen  years 15 

Balance  against  United  States 17 

What  we  sell  to  the  provinces 17 

What  we  buy  from  the  provinces 19 

Distribution  of  the  trade 20 

A  commerce  of  convenience 21 

'  The  reciprocity  treaty 21 

The  fisheries 23 

•  Is  reciprocal  free  trade  practicable 25 

A  zollverein 26 

The  transit  trade 28 

Canadian  and  American  tariff  policies 30 

Canada  as  a  "  cheap  country  " 31 

Wages  and  the  cost  of  living 31 

Comparative  tsiblo  of  wages 32 

Comparative  table  of  prices 34 

Purchasing  value  of  wages  compared 36 

The  savings  of  industry 36 

Accumulated  wealth 37 

Banking  capital  and  circulation 38 

Public  debt 38 

Immigration  and  emigration 39 

Partial  prosperity  in  the  Dominion , 42 

Commercial  growth  of  Montreal 43 

Diversion  of  American  grain  trade 43 

Favoring  circumstances ^ 44 

Lumber  and  barley 45 

Trade  with  the  non-confec'.erated  provinces 45 

Newfoundland  and  Prince  Edward's  Island 46 

Manitoba 46 

Conclusion 48 


i  -v     -  % 


STATE   OF    TRADE 


WITH 


THE  NORTH  AMERICAN  PROVINCES. 


Treasury  Department,  Office  of  the  Secretary, 

Fehruary  3,  1871. 

Sir  :  I  transmit  for  the  information  of  the  House  of  Representatives, 

the  report  of  J.  X.  Larned,  Avho  was  ai)pointed  special  agent  under  a 

joint  resohition  of  Congress  approved  June  23,  1870,  to  inquire  hito  the 

extent  and  state  of  tlie  trade  between  the  United  States  and  the  several 

dependencies  of  Great  Britain  in  Xorth  America. 

Verv  respectful!  V, 

GEO.  S.  BOUTWELL, 

Secretary. 
Hon.  James  G.  Blaine, 

Speaker  Hoiise  of  Representatives. 


Buffalo,  January  28, 1871. 

Sir  :  You  intrusted  to  me,  a  few  months  ago,  the  task  of  collecting 
information  in  compliance  with  the  joint  resolution  of  Congress  approved 
June  23,  1870,  which  directed  that  an  inquiry  should  be  made  relative 
to  the  state  of  trade  between  the  United  States  and  the  British  North 
American  Possessions.  The  subject  is  an  important  one,  and  I  have 
endeavored  to  investigate  it  with  as  much  thoroughness  as  the  time 
allowed  me  would  permit. 

Between  the  United  States  and  the  British  dependencies  that  lie  ad- 
jacent to  us  upon  our  northern  border,  the  intercourse  of  trade  ought, 
in  the  natural  order  of  things,  to  be  as  intimate  and  as  extensive  as  the 
intercourse  that  exists  within  this  Union  between  its  States  at  large  and 
any  corresponding  group  of  them.  Indeed,  the  natural  intimacy  of  con- 
nection between  the  pro\incesof  the  Dominion  of  Canada  and  onr  own 
Northern,  Nortwestern,  and  Eastern  States,  is  such  as  exists  between 
very  few  of  the  geographical  sections  of  the  Union.  Through  more  than 
half  the  length  of  tho  coterminous  line  of  the  two  territories,  the  very 
boundary  of  political  separation  is  itself  a  great  natural  high-road  of 
commercial  iutercoramunication — the  most  majestic  and  the  most  useful 


>  1 


; 


6  TRADE    WITH    URITISH    NORTH    AMERICAN    PROVINCES. 

of  all  the  iiviuul  wsiter-waya  of  traffic  and  tmvol  with  which  nature  h.as 
l'uniishe<l  the  Ainericau  (lontiiieiit.  The  lakes  on  which  we  border  at 
the  north  link  us  with,  rather  than  <livide  ns  from,  the  foreign  border 
on  their  opposite  shores;  while  the  fact  that  the  great  river  through 
which  their  waters  escape  to  the  sea  diverges,  at  last,  into  that  neigh- 
boring domain,  only  adds  to  the  closeness  of  the  relationship  in  which 
the  two  countries  are  placed.  The  territory  of  the  Canadian  peninsula 
between  the  lakes  is  thrust  like  a  wedge  into  the  territory  of  the 
United  States.  Across  it  lies  the  short-cut  of  traffic  and  travel  be- 
tween our  Northwestern  and  our  Eastern  States.  Geographically, 
in  the  natural  structure  of  that  energetic  zone  of  the  continent  which 
lies  betw(»en  the  fortieth  and  the  forty-sixth  parallels  of  latitude, 
the  province  of  Ontario  occupies,  with  reference  to  commercial  inter- 
changes East  and  West,  what  may  fairly  be  described  as  the  key  position 
of  the  whole.  The  lower  province  of  (Quebec,  through  which  the  St. 
Lawrence  passes  to  the  Athincic,  is  situated  with  hardly  less  advantage, 
and  in  some  views,  which  take  account  of  the  commercial  possibilities  of 
tlie  future,  ])erhai)S  with  even  more.  On  the  seaboard  theie  is  no  nat- 
ural distinction  or  partition  to  be  found  between  the  maritime  provinces 
of  the  Dominion  and  our  New  England  States.  New  Urunswick,  as  has 
been  remarked,  is  but  an  extension  of  the  State  of  Maine  along  the 
Bay  of  Fundy,  and  Nova  Scotia  is  but  a  peninsula  cleft  from  the  side  of 
New  Brunswick.  The  island  provinces  that  lie  north  of  thosC;  within 
or  beyond  the  Gulf  of  St.  Liiwrence,  are  a  little  removed  from  the 
same  intimac^  of  geographical  and  commercial  relationship  with  our  own 
national  territory,  and  yet,  to  the  extent  of  all  the  resources  they  i)ossess, 
their  most  natural  connection  of  trade  is  with  the  United  States.  As  to 
the  new  colonial  State  into  which  the  British  settlements  in  the  North- 
west have  Just  been  rudely  molded,  and  the  older  but  thinly -populated 
province  of  British  Columbia,  on  the  Pacittc  coast,  the  conditions  in  which 
they  are  placed,  relative  to  this  country,  may  be  considered  more  prop- 
erly hereafter,  perhaps. 

THE  DOMINION  OF  CANADx\. 

The  four  provinces  of  Oirtario,  Quebec,  New  Brunswick,  and  Nova 
Scotia,  forming  at  present  the  confederation  known  as  the  Dominion  of 
Canada,  contain  a  now  estimated  population  cf  about  4,283,000,  divided 
as  follows : 

Ontario 2, 130, 308 

Quebec 1, 422, 540 

New  Brunswick 327, 800 

Nova  Scotia , 306, 440 

Total 4, 283, 103 


TRADE    WITH   URITI&H   NORTH    AMERICAN    PROVINCES. 


tiro  liJis 
uder  at 

border 
hrouftli 
t  iici^li- 
1  whii'li 
'iiiiisiihi 

of  the 
i\ol  hi'- 
»hicall,v, 
t  which 
atitude, 
il  inter- 
lositioii 
the  St. 
'aiitaj»e, 
ilities  of 

no  iiat- 
roviiices 
c,  as  has 
ong  the 
B  side  of 
!.  within 
rom  the 
our  own 
l)ossess, 
1.  As  to 
)  Noith- 
>puhited 
in  which 
ire  prop- 


id  Nova 
linion  of 
,  divided 

,  130, 308 

,  422,  540 

327, 800 

306,  440 

,  283, 103 


Those  osMmatos  ar»^  based  npon  a  census  taken  in  18(11,  ten  years  ago, 
and  they  asstirne  for  all  the  provinces  the  same  rate  of  increase  that 
was  found  in  the  previous  decatU*.  It  is  (piite  probable  chat  the  result 
of  the  new  census,  for  whicli  preparation  is  now  being  made,  will  fall 
short  of  this  calculation  in  every  i)roviiu;e,  except,  perhaps,  Ontario,  and 
four  millions,  in  round  numbers,  may  mon;  safely  be  set  down  as  the 
existing  p(>pulation  of  the  Domini<m.  The  two  insular  provinces, 
of  Nowfoumlland  and  Prince  Edward  Island,  whi(!h  have  thus  far 
refused  to  enter  the  contederation,  (iontain  populations  estimated, 
respectively,  at  110,000  and  00,000. 

RKSOURCES  AND  CAPABILITIES. 

Here,  then,  arc  about  four  and  a  (piarter  millions  of  people,  not  only 
living  in  the  utmost  nearness  of  lunghborhood  to  us,  but  with  such  in- 
terjections of  t(^rritory,  and  such  an  interlacing  of  natural  communica- 
tions and  connections  between  their  country  and  ours,  that  the  geograph- 
ical uriity  of  the  two  is  a  more  conspicnous  fact  than  their  political  sep- 
aration. Their  numbers  exceed  by  more  ihnn  half  a  million  thcs  people 
of  the  six  New  Engliiiul  iStates,  and  about  Cijual  the  numbers  in  the 
great  State  of  New  York.  In  the  magnitude  and  value  of  the  industrial 
and  commercial  interchanges  that  are  carried  on  between  the  New  Eng- 
land States  and  the  other  parts  of  this  Union,  we  may  And  no  unfair 
measure  of  the  kindred  commerce  that  would  have  existed,  under  nat- 
ural circumstances,  between  those  i)eople  and  ourselves.  Such  equal 
conditions,  'ndeed,  would  undoubtedly  have  given  to  the  provinces  in 
(piestion  a  weight  in  the  commerce  of  the  North  America  continent  con- 
siderably exce^^ding  the  present  weight  of  the  New  England  States. 
The  average  capabilities  of  their  soil  and  cliniate  are  not  inferior  to  the 
capabilities  of  the  six  States  with  Avhich  I  compare  them,  while  their 
general  resources  are  greater  and  more  varied.  Ontario  possesses  a 
fertility  with  which  no  part  of  New  England  can  at  all  compare,  and 
that  peninsular  section  of  it  around  which  the  circle  of  the  great  lakes 
is  swept,  forces  itself  upon  the  notice  of  any  student  of  the  American 
map  as  one  of  the  favored  spots  of  the  whole  continent — as  one  of  the 
appointed  hiving  places  of  industry,  where  population  ought  to  breed 
with  almost  Belgian  fticundity.  A  large  section  of  Quebec  is  at  least 
ecpial,  in  soil  and  climate,  to  its  New  England  neighbors,  while  it  rivals 
them  in  the  possession  of  water  power,  whi'jli  is  furnished  by  every 
stream,  and  while  it  commands  easier  and  clieaper  access  to  the  markets 
of  the  western  interior.  As  for  the  maritime  provinces,  their  pos- 
session of  abundant  coal  gives  them  one  of  the  prime  advantages  of  in- 
dustry over  the  contiguous  States.  Along  with  this  parity,  to  say  the 
least,  in  all  that  is  essential  to  a  vigorous  development,,  the  provinces 
forming  the  Dominion — even  if  we  exclude  that  vast  seat  of  future  em- 
pire in  the  basin  of  Lake  Winnipeg,  which  lies  waiting  for  eivilization 
to  reach  it — occupy  a  territorial  area  within  which  the  population  of 


8 


TRADE   WITH   DRITISll   NORTH    AMERICAN   PROVINCES. 


i.    s 


I  i 


is  I 

iir 
it  J 


fit 


New  KiiKliind  or  New  York  nu;?lit  bo  several  times  iimltipluMl  without 
Increase  of  dt^iisity.  The  urea  of  Oiitiirio  uiul  (Quebec  it  is  impossible  to 
(leflne  with  exjietness,  for  the  reason  that  tlu'y  have  no  boundary  on  the 
north,  exeei>t  the;  limits  to  civilized  settlement  which  the  climate  oi'  the 
North  imposrs,  where\cr  that  may  be.  l*ra(!tically,  tin;  limits  of  (>ana- 
dian  <'iiIti\ation  and  settienuMit  weic  maiked,  until  a  very  recent  i)eriod, 
by  the  Lanrentian  ran,i;('  of  hills  and  the  bioken  si»iirs  that  are  thrown 
ott"  from  it  across  the  head  of  the  western  peninsida.  This  barrcui,  rocky 
i'u\<<;o  follows  a  line  nearly  i)arallel  with  the  St.  Lawrenc^e  on  its  north- 
ern bank,  \\\)  to  the  vicinity  of  ^'ontreal,  where  it  strikes  away  iu  a  west- 
ern direction,  indicateil  by  the  course  of  the  Ottawa  I'iver,  which  is  the 
conduit  of  the  water-slu'd  of  the  Laurj'utian  elevation.  A  broad  off- 
shoot, how  cNcr,  of  the  same  i)rimitive  ujtheaval  is  traced  in  a  belt  of 
forbidding  territory,  where  swamp  ami  rock  are  int' rnnn^led,  from  the 
Ottawa  Iliver  to  Crcorgiau  ]?ay. 

Ul)  to  the  present  time  these  forbidding?  l)arriers  have  i)raeticall.v 
formed,  in  both  provinces,  the  northern  boundary  of  Canadian  cultiva- 
tion and  settlement,  which  spread  slowly  and  feebly,  without  tlio  same 
iini»etus  and  momentum  that  characteri/e  the  ])ioneer  movement  in  the 
United  States.  Within  a  few  years  past,  however,  it  has  been  discov- 
ered, and  now  it  seems  to  be  a  well-deternuned  fa(!t,  that  beyond  the 
Lanrentian  belt  there  are  large  tracts  of  productive  territory,  (capable  of 
well  sustaiinng  no  very  scanty  x)oi)ulation,  even  when  stripped  of  the 
timber  which  constitutes  their  lirst  value.  The  officially  published  re- 
ports of  surveys  made  (luring  late  years  within  those  regions,  which  1 
have  exmined  with  ii  good  deal  of  carefulness,  show  great  inequality  in 
the  value  of  the  lands,  nniny  districts  of  fertile  soil  being  curiously  in- 
termixed with  se('tions  that  are  actually  or  almost  incapable  of  cultiva- 
tion. Jjut  these  reports,  if  at  all  correct,  leave  no  doubt  that  on  the 
ni)per  Ottawa,  in  the  basin  of  Lake  Nippissing,  along  the  eastern  shores 
of  (leoigian  Bay,  and  even  to  some  extent  on  the  northern  shore  of 
Lake  Superior,  there  are  very  e<'nsiderable  areas  that  will  ultimately 
give  supp(n^t  to  a  hardy  and  enterprising  population.  Large  tracts  of 
this  new  domain  have  been  set  apart  by  the  provincial  authorities  as 
"free  grant  lands,"  to  be  given  to  actual  settlers  on  terms  very  near.y 
lijie  the  terms  of  the  "homestead  act"  in  the  United  States,  and  under 
the  stinudus  of  that  wise  policy  their  settlement  has  commenced  witu 
some  activity  and  prondse. 

To  what  extent  the  mineral  resources  of  the  infertile  Laurontian  b:'lt 
render  that  capable  of  giving  life  to  industry  and  sui)port  to  a  jiopula- 
tion,  it  is  impossibk  to  say.  Just  enough  has  so  far  been  discovered  to 
indicate  that  the  miiiCral  deposits  within  and  on  the  flanks  of  the  range 
may  prove  to  be  quite  an  important  element  of  the  wealth  of  the  Caiui- 
das.  Both  ir'  and  k  ad  mines  have  been  opened  and  worked  to  some 
extent  north  of  Kingston ;  very  valuable  deposits  of  plumbago  have 
lately  been  found  and  opened ;  gold  is  extensively  indicated  throughout 


TRADE    WITH    niirTISFI    NllRTII    AMERICAN    PR0VIXCK8.  9 

a  wide  r<'f;i<>ii  in  Uotli  I'loviiiccs,  ami,  more  than  pioUaltly,  will  \v{  be 
fbiind  in  |)i'<)tital>k'  quantities;  :i  Itratitifiil  uiarhlc  i.salicady  bciii;;  (jiiar- 
licd  ;  the  copper  mines  on  the  north  .shore  of  Lake  Superior  ai'c  luuines- 
tionahly  of  {j^reat  fi'tiire  value,  and  recent  developments  ;;o  to  show  that 
the  same  r<'«lon  is  remarkably  rich  in  silver.  Altoi,'ether,  it  may  bo 
assumed  that  the  lU'oductixc  and  liabitaide  territory  of  t!ui  (-anadas  is 
not  couiined  to  their  tillabl(>  lands. 


4 


(^OMPAUATIVE    AIJEA    Am)  FOPULATION. 

The  eonnnouly  stated  area  of  the  provinee  of  Ontario  is  121,2(i0  s(iuare 
miles,  and  of  the  provinee  of  (^uebee  L'KMKIO  svpian^  miles.  The  actual 
area  of  habitable  and  i)roductive  territory  belon};in<]f  to  tliem  may  be 
eKtimate(l,  I  tliink,  at  about  ."iO,^!)^)  scjuare  miles  for  each.  AVithin  that 
area  in  Ontario  the  eai)abilities  of  develo[>ment,  makin*,^  all  due  allow- 
ance tor  whatever  inconsiderable  difleiences  of  clinnite  exist,  would 
seem  to  be  fidly  cfjual  lo  the  cai)abilities  of  tlu^  State  of  New  Vork,  and 
if  Ontario  had  kejjt  pace  in  its  <irowth  with  New  Y«)rk,  as  there  seems 
to  be  uo  natural  reason  why  it  should  not  have  done,  (if  we  e.\(;lude 
Kew  York  City  from  the  c«»mpariso.i,)  the  population  of  that  province 
would  now  have  exceeded  four  millions  instea<l  of  two.  The  province 
of  Quebec  nuiy  be  fairly  measured  in  the  same  manner  with  the  States 
of  New  Hampshire  and  Vermont,  whose  cal>abiliti(^s  are  no  greater, 
notwithstanding  the  somewhat  more  rigorous  winter  climate  to  which  j 
it  is  ex[)osed.  A  poi)idation  in  Quebec  i)roi)orti()iied  to  that  (►f  New  ; 
Ilam[)shire  ajid  A^'rmont  would  exceed  by  not  less  than  half  a  million 
what  the  province  now  contaiis;  while  Nova  Scotia  and  New  Bruns- -> 
Avick,  poj)ulated  in  the  same  ratio  as  Maine,  of  which  they  are  the  coun- 
terpart, would  contain  to-day  a  million  of  souls. 

CAUSES  or   TARDY  GROWTH. 

That  the  four  provinces  of  the  Dominion  do  not  at  the  present  day 
exhibit  a  population  of  from  six  to  seven  millions  of  people,  with  cor- 
responding wealth  and  corresponding  activities  of  industry,  is  the  very 
X>lain  and  unmistakable  consequem;e  of  the  fa(;t  th"'  they  have  not  re- 
(;eived  their  natural  share  of  the  energies  that  are  a  work  in  the  devel- 
oi)ment  of  the  Anunncan  continent;  and  that  fact  is  clearly  to  be  traced 
to  their  isolation  fiom  the  free  interchange  of  activities,  in  a  commer- 
cial w^ay,  which  the  rest  of  the  Anglo-Saxon  communities  of  America 
ha.ve  secured  by  their  national  (H)nfederation.  To  the  mere  political 
distinction  between  the  dei)endent  liiitish  i>rovinces  and  ourselves,  or 
rather  to  such  dirt'erc^nce  as  exists  between  their  form  of  poi)ular  gov- 
ernment and  our  own,  I  shordd  give  no  weight  among  the  immediate 
causes  of  the  slower  growth  that  they  exhibit.  The  political  institu- 
tions of  the  ill-named  Dominion  of  Canada  are  scarcely  less  republican, 
either  in  operation  or  in  principle,  than  our  own,  and  cannot  reasonably 
be  charged  with  exerting,  in  or  of  themselves,  any  disadvantageous  iu- 


!!H 


'! 


11     ! 


II 


n-i 


10 


TRADE    WITH   BRITISH   NORTH   AMERICAN  PROVINCES. 


f 


tiiience  upon  the  country.    Even  as  concerns  the  influence  of  rcpubliccan 
asi)iration.s  upon  immigration  from  the  (»lder  world,  it  may  be  seriously 
doubted  whether  practical  considerations  do  not  .ilmost  wholly  control 
the  choice  which  the  immigrant  makes  of  this  country  rather  than  of 
Caimda.    He  has  been  led,  and  by  good  reasons,  to  expe(;t  that  he  will 
tind  in  the  United  States  gieater  activities,  wider  and  more  numerous 
o]>portuniries,  and  the  ^tir  of  a  more  vigorous  life.    The  suj)erior  igor, 
Avhich  appears  patent  to  the  outside  world,  is  as  simply  explained  as  it 
is  undeniable.    From  the  immense  diversity  of  resources  and  product- 
ive capabilities  in  the  vast  territory  that  we  occup^' ,  with  its  many  zod'^s 
of  climate,  its  many  variations  of  soil,  its  multiform  structure,  its  triple 
seaboanl,  its  inland  seas  and  its  great  rivers,  its  prairies  and  its  moun- 
tains of  every  mineral,  we  der've  a  certain  mutual  play  of  industrial 
forces,  acting  an("  reacting  ui)on  each  other  with  unrestricted  and  per- 
fect freedom,  which  is  ^^onderfully  cumulative  and  wonderfully  stimu- 
lating— beyond  anything,  in  fact,  that  has  been  known  in  the  experience 
of  the  world  before;  and  the  secret  of  it  all  is  the  freedom  of  the  diver- 
sified interchange.    The  effect  halts  where  that  freedom  of  industrial 
commerce  meets  with  interference.     The  custom-houses  of  the  national 
frontier  paralyze  it  more  than  half;  and  \>e  should  find,  if  we  could 
examine  closely  enough,  tnat  it  is  in  just  the  degree  th.at  the  neighbor- 
ing provinces  are  cut  off,  by  their  political  isolation,  from  the  nee  cir- 
ci'latlon  of  the  ])roductive  and  commercial  energies  of  the  continent, 

I  that  they  have  fallen  behind  their  sister  communities  of  the  same  ori- 

I  gin  and  the  same  character  in  material  progress. 

^^  I  have  i>laced  the  subject  in  this  view  for  the  purpose  of  suggesting 
the  loss  that  we  sustain,  as  a  nation,  from  the  unfortunate  causes  which 
have  stunted  the  natural,  or  at  least  the  otherwise  possible,  develop- 
ment of  so  large  and  so  importantly  related  a  section  of  the  common 
domain  of  Anglo- A^merica.  If  our  loss  is  vastly  less,  even  proportion- 
ately, than  that  of  the  provincial  people,  it  is,  nevertheless,  a  very  serious 
one.  It  is  the  deprivation  of  what  raighi:  have  been  ard  what  might  still 
be  frJly  one-eighth  addeu  to  the  accunuilating  momentum  of  the  indus- 
trial energies  by  which  <\e  are  carried  forward.  If  the  same  interchange 
that  exists  between  the  States  of  the  American  T'^nion  had  existed  be- 
tween those  States  and  the  neighboring  provinces,  we  should  now  impart 
to  them,  it  is  hue,  the  activities  of  forty  millions  of  people,  while  they 
give  back  to  us  the  responding  activities  of  six  or  seven  millions ;  but 
that  is  ail  iuecpiality  of  exchange  which  we  have  found,  between  our 
Union  at  large  t  nd  its  several  States,  to  be  marvellously  profitable. 

In  the  exfraord'iniry  impulse  of  advancement  that  was  given  to  the 
provinces,  and  ps  rticularly  to  Ontario,  (then  Upper  Canada,)  !  y  the 
operation  of  the  so  called  treaty  of  recij.rocity,  duririg  the  eleven  years 
of  its  existence,  a  marked  and  significant  illustration  was  afforded  of 
the  magnitude  of  the  influence  which  limitations  put  upon  the  freedom 
of  commercial  intercourse  between  their  producers  and  ours  exert  on 


M 


TRADE    WITH   BRITISH   NORTH    AMERI^^AN    PROVINCES. 


11 


iiblican 
iriously 
control 
than  of 
lie  will 
merous 
r  ngor, 
ed  as  it 
•roduct- 
y  zoi»'*/S 
cs  triple 
i  monu- 
dustrial 
lid  per- 
y^  stiinu- 
lerieuce 
e  diver- 
dustrial 
national 
ve  could 
eighbor- 
nee  cir- 
nitinout, 
;anie  oii- 

ggesting 
OS  which 
develop- 
comiiion 
^portion - 
y  serious 
ight  still 
lie  indus- 
erchange 
asted  be- 
w  impart 
hile  they 
ions ;  but 


them.  Unfortunately ,  we  were  not  permitted,  upon  our  own  side,  to  learn 
as  fully,  from  the  experience  of  that  treaty,  the  value  to  ourselves  of  a 
state  of  freedom  in  the  interchanges  of  the  two  countries.  As  I  desire 
to  show  i>resently,  the  adjustment  of  the  partial  free  trade  established 
by  the  treaty  negotiated  in  18o4  was  such  as  to  render  its  3i)eration 
very  far  from  reciprocal  or  equitable,  for  the  reason  that  the  schedule 
of  commodities  covered  by  it,  while  it  embraced  on  the  one  hand  nearly 
everything  that  the  provinces  ]nodnce,  included,  on  the  other,  but  a 
limited  number  of  the  productions  of  which  this  country  desires  to  extend 
its  sale:  and  for  the  far  greater  reason  that  the  commodities  made  free 
were  almost  wholly  of  a  description  for  whi(!h  the  provinces  could  offer 
no  market  to  us  commensurate  with  the  markets  that  th<3  United  States 
opened  to  them. 

It  was  simply  impossible  that  an  arrnngemeni,  of  incomplete  free 
trade  so  non-recipiocal,  so  one-sided  in  its  operation,  and  so  provokingly 
the  result,  as  the  treaty  of  1854  was,  of  a  sharply-forced  bargain  on  the 
fisheries  .piestion,  could  be  allowed  to  continue  beyond  the  term  for 
which  it  was  contracted.  It  was  justly  abrogated  in  ]80(]  by  the  act  of 
this  Government,  with  the  very  general  sanction  of  puMic  opinion  in 
the  country:  and  yet  there  are  probably  few  among  th<»se  v,\\o  op- 
I)Osed  the  continuatiok  of  the  reciprocity  treaty  of  18o4,  and  who 
oppose  its  renewal  in  any  similar  form,  who  are  not  fully  convinced  that 
ail  intimate,  unrestricted  commerce  with  the  neighboring  communities 
would  be  of  great  benefit  to  this  country,  as  it  certainly  would  be  an 
incalculable  stimulant  to  the  growth  of  those  communities.  The  ques- 
tion is  one  of  adjustments.  Free  trade,  or  any  approa(;h  to  naturalness 
of  commercial  intercourse  between  these  (piasi-foreign  neigl  bors  and 
ourselves,  is  impossible,  unless  the  outside  (ionditions  and  commercial 
relations  of  the  two  countries  can  be  brought  into  harmony  with  each 
other.  That  is  the  important,  and,  m  fact,  the  only  point  of  inquiry 
in  the  matter.  If  the  exterior  relations  of  the  two  countries  were  so 
adjusted  to  one  another  as  not  to  interfere  on  either  side  with  a  natural 
circulation  of  free  trade  between  themselves,  probably'  not  one  intelli- 
gent voice  would  be  raised  against  the  abolition  of  every  custom  house 
on  our  northern  frontier. 

PRESEXT  TRADE  WITH  THE  DOMiyiO:^. 

The  provinces  confederated  in  the  Dominion  of  Canada  are  two  mil- 
lions in  population,  as  I  am  forced  to  believe,  and  several  hundred  inil-^ 
lions  of  dollars  in  wealth,  behind  what  they  would  now  have  exhibited 
had  they  enjoyed  from  the  beginning  free  intercourse  in  trade  with 
these  United  States.  As  they  stand,  however,  they  form  a  very  import- 
ant body  of  producers  and  consumers  for  us  to  deal  with.  Last  year, 
according  to  their  own  official  statistics  of  trade,  vhey  were  ])urchasers 
iu  the  markets  of  the  outside  world  to  the  amount  of  $71,23'.>,187,  and 
they  sold  in  the  same  markets  productions  of  their  own  to  the  amount 


!  i 


iif 


111  j 

!  I 


I  I 


lij 


if 


.  i 


iV  i 


12 


TRADE   WITH   BRITISH   NORTH    AMERICAN   PROVINCES. 


of  $50,081,102,  (values  in  ffold.)  Of  these  transactions  the  Canadian 
statistics  show  less  than  35  per  cent,  of  the  foreign  purchases  of  the 
Dominion,  against  51  per  cent,  of  its  foreign  sales,  to  have  been  made  in 
the  United  States.  In  reality,  as  ^A'ill  ap])ear  upon  a  further  examination 
of  t\u)  facts,  tlie  exports  from  the  Dominion  to  the  United  States  exceed 
tlie  imports  from  the  United  States  into  the  Domiiiion  to  the  extent  of  a 
ratio  even  greater  than  that. 

The  following  tables  exhibit  the  commerce  of  the  four  provinces  of  the 
Dominion  for  the  last  two  fiscal  years,  as  represented  in  the  official 
returns  compiled  by  the  commissioner  of  customs  at  Ottawa : 

TOTAL  IMPORTS   OF  THE   DOMINION. 

Statement  of  the  value  of  art'iclcH  imported  into  the  Dominion  of  Canada  and  entered  for  con- 
sumption in  the  two  fweal  years  ended  Jnnc  30,  1809  and  1870. 
[From  Canartinn  official  returns.] 


18C9. 


Qnelx'c 

(Jiitiirio 

Xovii  Scotin 

iS'ew  Brunswick 

Total 


From  Great 
Britiiiii. 


ijin,  C26,  C36 
H,  547,  3;W 
4,  m-i,  !I85 
U,  587,  510 


35,  7()4,  470 


1870. 


Quebec 

Ontiirid 

Nov.i  Scotia 

Kcw  BruiiHwick 

Total 


J'rom  United 
States. 


From  all 
other  coun- 
tries. 


$6,108,804 

14,  .5ilO,  177 

2,  5ti0,  0!i3 

2, 154,  701 


25,  473,  705 


20,  382,  270 

9,  837,  885 
4,  3il7,  725 
3,  977,  5.53 


38,  595,  433 


0,011,332 
14,031,340 

2,  258,  079 
1,  823,  320 


$3,  749,  737 

587,  248 

1,180,325 

040,  085 


0,  103.  995 


24,  724,  071 


5,  174, 270 
(iOl,  232 

1,  3.V2,  227 
731,  954 


Tct^l. 


829,  545, 177 
23,  724  704 

7,  749,  333 
0,  382,  890 


67,  402, 170 


32, 167,  872 

24,  530,  457 

8.  (108,  031 

0,  532,  327 


7,  919,  683 


71, 339, 187 


IMPORTS  PROM   THE  UNITED   STATES. 


II!  n 


ill 


si  ( 

fflll 


: 


Statement  of  the  valne  of  (joodx  imported  into  the  Dominion  of  Canada  from  the  United  States 
and  entered  for  consumption,  (excJnsive  of  coin  and  bullion,)  during  the  two  fiscal  years  ending 
June  no,  18C9  and  1870,  distinguishing  those  lehieh  paid  duty  from  those  entered  free  of  duty, 

[From  Canadian  offlciai  returns.] 


Dutiable. 


1809. 


Qnobec i  $2,910,004 

Ontario I  3,119,109 

Nova  Scotia 660, 192 

Xew  llrnnswlck 1, 104.  383 


Free. 


Total. 


Duties  col- 
leot-fcd. 


$.3,141,029  i  $0,0.-4,633 

7,00H,  849  i  10,  72^0;>3 

1,8!I9,  033  I  2,  .5.")9.  825 

1,0.')0,  318  I  2,154,  101 


Total 


1870. 


il 


(Jneboc 

Ontario 

!\ova  Scotia 

NewBruuswick. 

Total 


7.  793,748  j      13,703,429 


3, 014.  .5.35 

3,912,308 

703,  840 

978,  096 


3,  409,  7.50 

7, 249, 179 

1,  494,  £  13 

845,  2i:4 


8,  698,  845  ,      12, 998,  392 


21,497,182 


6,4,54,29: 

11,  161,  .547 

2,  258,  079 

1,823,320 


21, 697, 237 


$078,  083 
.5.50,618 
122,  229 
214, 033 


1,  565,  563 


72?,  497 
674,  271 
119.768 
182,  712 


1, 700,  248 


TRADE    WITH   BEITISH   NORTH   AMERICAN   PROVINCES. 


13 


IMPORTS  FROM  GRl'AT  BRITAIN. 

Statement  of  the  value  of  goods  imported  into  the  Dominion  of  Canada  from  Great  Britain  and 
entered  for  consumption,  (exclusive  of  coin  and  hullion,)  duriny  the  two  fiscal  years  ending 
June  3C,  1869  and  1870,  distinguishing  those  which  paid  duty  from  those  entered  free  of  duty. 

[From  Conadiau  official  roturns.] 


1869. 

Quebec 

Ontario , 

Nova  Scotia 

New  Bi'oiiswick 

Total , 

1870. 

8«ebeo 
ntaiio 

Nova  Scotia 

New  Bruuswick 

Total 


Dutiable. 


<14,  503, 286 
7,  954,  779 
3,  281,  836 
2,  743,  714 


28,  483,  645 


14,  563,  737 
8,  6!'4,  745 
3,  561,  080 
3,  203, 386 


30,  022, 948 


Free. 


$4,  855,  644 
592,  560 
7iil,  149 
843,  766 


Total. 


$19, 358, 930 
8,  547,  339 
4, 002,  985 
3,  587, 510 


Duties  col- 
lected. 


7, 0;3, 119    35,  496,  764 


4,  760, 195  ! 

1, 143, 140  I 
836,  645  I 
774,167 


19,  323,  932  i 

9,837,885  i 

4,  397,  725  i 

3,  977,  553  . 


7,514,147  I   37,537,095 


12,  374,  446 

1,  317, 253 

593,  958 

514,  098 


4,  799,  755 


2,  362, 209 

1,  407,  4,54 

643,  444 

624,  331 


5,  037,  438 


TOTAL  EXPORTS  OF  THE  DOMINION. 


^'t^yy-.  : 


1678,  663 
550,618 
122,  229 
214, 033 

1,  505,  563 


72P,  407 
674,  271 
119.  768 
182,  712 


1, 700,  248 


/Statement  of  the  value  of  goods,  tlv  growth,  produce,  and  manufacture  of  the  Dominion  of 
Canada,  exported  from  the  several  lyrovinces,  {exclusive  of  coin  and  bullion,)  during  the  two 
fiscal  years  ended  June  '60,  1869  and  1870. 

[From  Canadian  official  returna.] 


To  tbe  United 

States. 

To     Great 
Britain. 

Total  exports 
to  all  countries. 

Quebec 

Ontario 

Nova  Scotia .   

1869. 

$5,  627, 276 

15, 187,  809 

1,  831,  054 

994,  600 

f  16,  344,  825 

742, 686 

466,  779 

2,  931,  548 

$23,  546, 054 

15,  930,  495 

5,  031,  859 

New  Brunswick 

4,  814,  896 

1870. 

Total 

23,  640,  739 

20, 4t,5,  838 

49, 323, 304 

Quebec 

6,  880,  446 
18,017,212 

1,  473,  895 

2,  400,  759 

18,  538,  842 

1, 216,  989 

395,  925 

1,009,231 

27,  421,  676 
19,  235,  ;}06 

Ontario 

Nova  Scotia 

5,  061,  039 

New  Brunswick 

4,  363, 171 

Total 

28, 772, 312 

21, 160,  987 

56,  031, 199 

ANALYSIS  OF  CANADIAN  FOREIGN  COMMERCE. 

An  analysis  of  the  foregoing  tables  of  imports  shows  some  facts  which 
it  is  well  to  note  in  passing. 

Of  the  imports  of  the  Dominion,  53  per  cent,  in  the  fiscal  ;'rear  1869 
and  54  per  cent  in  1870  were  from  Great  Britain ;  38  per  ceitt.  in  1869 
and  not  qnite  35  per  cent,  in  1870  were  from  the  United  States,  and  9 
and  11  j)er  cent,  in  the  two  years,  respectively,  were  the  proportions  of 
importation  from  all  other  countries. 


14 


TRADE   WITH   BRITISH   NORTH   AMERICAN   PROVINCES. 


1      I-8 


-'■       I      I 

it*  -ir 

iill! 


!i 


11 


The  (luty-p.ij'ing  imports  from  Great  Britain  into  the  Dominion  formed 
80  per  cent,  of  the  entire  imports  from  that  nation  both  in  1809  and 
1870,  and  only  20  per  cent,  were  of  commodities  admitted  free ;  while  but 
3G  per  (;ent.  of  the  imports  from  the  United  States  in  18b0  and  40  per 
cent,  ill  1870  paid  duty,  and  04  per  cent,  and  00  per  cent,  in  the  two 
years,  respectively,  entered  free. 

The  duties  collected  on  the  dutiable  imports  from  the  United  States 
were  at  the  average  rate  of  20  per  cent,  on  the  returned  value  in  1809, 
and  19.5  per  cent,  in  1870;  while  the  duty  collected  on  the  dutiable 
imports  from  Great  Britain  was  at  the  average  rate  of  10.8  per  cent,  in 
1809,  and  10.7  per  cent,  in  1870. 

In  other  words,  a  much  smaller  proportion  of  the  goods  imported  from 
the  United  States  than  of  the  goods  imported  from  Great  Britain  were 
subjected  to  dutj',  but  those  among  the  former  which  did  come  under 
the  Canadian  tariff  paid  at  a  considerably  higher  average  rate. 

The  very  large  proportion,  however,  of  free  goods  from  the  United 
States  that  appears  in  the  Canadian  imports  of  1809,  and  with  a  slight 
diminution  in  1870,  no  longer  exists.  A  new  Canadian  tariff  went  into 
effect  on  the  7th  of  April  last,  which  imposes  the  following  duties  upon 
articles  previously  free,  all  of  them  being  commodities  of  leading  import- 
ance, in  the  not  very  extended  list  of  productions  that  we  barter  with 
our  i^rovincial  neighbors:  flour,  25  cents  per  barrel;  meal,  15  cents  per 
barrel ;  wheat,  4  cents  per  bushel ;  all  other  grains,  3  cents  per  bushel ; 
coal  and  coke,  50  cents  per  ton ;  salt,  5  cents  per  bushel ;  hops,  5  cents 
per  i)ound ;  rice,  1  cent  per  pound.  These  duties,  which  leave  a  now 
quite  insignilicant  free  list  of  commodities,  so  far  as  American  trade  is 
concerned,  were  avowedly  levied  in  retaliation  for  the  protective  rigor 
of  the  United  States  tariff",  and,  by  the  act  which  imposes  them,  the 
governor  in  council  is  authorized  to  suspend  or  to  modify  them,  by  pro- 
clamation, together  with  the  duties  on  fish,  meats,  butter,  cheese,  lard, 
tallow,  vegetables,  and  several  other  articles,  ''  whenever  it  appears  to 
his  satisfaction  that  similar  articles  from  Canada  may  be  imported  into 
the  United  States  of  America  free  of  duty,  or  at  a  rate  of  duty  not 
exceeding  that  payable  on  the  same  under  such  proclamation  when 
imported  into  Canada." 

THE  STATE  OF  COMIVIERCIAL  BELLIGERENCY. 

As  the  case  now  stands,  the  two  countries  are  in  what  might  be  de- 
scribed as  an  attitude  of  commercial  belligerency  toward  one  another, 
mutually  repell  r.g  and  discouraging  the  intercourse  of  trade  and  the 
profitable  and  convenient  exchange  of  industries  that  are  natural  to  their 
intimate  neighborhood.  Under  the  treaty  of  reciprocity  there  was  a 
large  excess  of  liberality  on  the  side  of  the  United  States  in  the  terms 
of  trade,  and  the  Canadian  tariff  grew  steadily  more  illiberal  and  non- 
reciprocal.  After  the  abrogation  of  the  treaty,  the  conditions  were 
reversed,  and  it  must  be  confessed  that  the  gates  of  trans-frontier  traffic 


I 

I 


I 


I 


TRADE    WITH    BRITISH    NORTH    AMERICAN   PROVINCES. 


15 


4 


stood  more  open  on  the  Canadian  than  on  the  American  side  from  that 
period  until  the  adoption  of  the  retaliatory  tarifif  of  hist  April.  Now. 
however,  on  both  sides,  the  freedom  of  trade  is  about  evenly  interfered 
with,  and  the  state  of  commercial  repulsion  between  the  two  countries, 
whose  interests  so  strongly  attract  them  to  intimacy,  is  as  nicelj'  adjusted, 
perhaps,  as  it  could  be.  No  one,  I  think,  can  contemplate  this  situation 
of  things  without  feeling  it  to  be  a  most  unfortunate  dislocation,  which 
verj'  seriously  impairs  the  organization  and  operation  of  the  industrial 
energies  of  the  American  continent.  And  a  farther  investigation  of  the 
statistics  of  trade  will  not  diminish  that  feeling. 

STATISTICAL  EXHIBIT  FOR  SEVENTEEN  YEARS. 

I  have  given  the  Canadian  official  statement  of  imports  into  the  Do- 
minion from  the  United  States  during  the  last  two  fiscal  years.  That 
exhibits  one  side  of  the  commercial  exchanges  between  the  two  countries, 
the  other  side  of  which  is  to  be  found  in  our  own  official  statistics  of 
imports  into  the  United  States  from  the  provinces  of  the  Dominion.  It 
is  proper  to  remark  here  that  a  great  many  contentious  arguments 
relative  to  the  trade  between  the  two  countries  have  been  vitiated,  by 
being  based  upon  official  returns,  in  one  country  or  the  other,  of  both 
imports  and  exports,  as  though  the  two  were  equally  trustworthy  statis- 
tics. The  well-known  fact,  however,  is  that  in  no  country,  and  certainly 
neither  in  Canada  nor  the  United  States,  are  the  statistics  of  exports, 
compiled  from  the  returns  of  clearances  at  the  Gustv)m-honses,  to  be 
trusted  for  accuracy ;  for  the  simple  reason  that  thereis  neither  the  same 
stringency  of  law  nor  the  same  watchfulness  to  compel  jin  exact  state- 
ment of  outgoing  shipments  that  is  applied  to  secure  true  reports  of 
the  value  of  foreign  commodities  coming  into  the  country.  Chiefly  as 
the  consequence  of  this,  the  statistics  of  no  two  countries  respecting 
their  trade  with  each  other  will  agree  at  all.  The  discrepancy  between 
our  own  official  returns  and  those  of  the  Canadian  government  relating 
to  the  same  trade  is  further  widened  by  the  mixed  values  (in  currency 
and  gold)  that  appear  in  the  export  and  reexport  statements  of  the  former. 

According  to  our  own  statistics,  we  bought  from  the  four  provinces 
of  the  Dominion,  in  the  fiscal  year  ended  June  30,  1870,  commodities  to 
the  value  of  $39,507,842,  (in  gold,)  and  sold  them  domestic  commodities 
to  the  value  (in  currency)  of  $10,365,771,  and  foreign  reexports  to  the 
value  (in  gold)  of  $3,931,525. 

According  to  Canadian  statistics,  our  purchases  from  the  Dominion, 
in  the  same  twelve  months,  amounted  only  to  $28,772,312,  and  our  total 
sales  to  it,  of  domestic  and  foreign  goods,  were  of  the  value  of  $21,097,237, 
all  in  gold. 

On  each  side  there  is  strong  probability  of  the  near  accuracy  of  the 
import  returns,  and  we  may  safely  accept  them  as  representing  the 
commercial  exchanges  of  the  two  countries.  The  following  table  is 
compiled  in  that  view,  from  the  official  returns  of  imports  in  each 


r^ 


16 


TRADE    WITH    BRITISH    NORTH   AMERICAN   PROVINCES. 


'!^! 


i 


lii' 


country  from  the  otlior,  both  representing  values  in  gold.  It  shows  the 
yearly  amount  of  trade  each  way  that  passed  between  the  United  States 
and  the  old  Canadian  provinces  from  1854  to  1807,  both  inclusive,  and 
between  the  United  States  and  the  Dominion  of  Canada,  since  that  con- 
federation was  organized.  The  exhibit  is  rendered  faulty  to  a  certain 
degree  by  the  fact  that  the  Canadian  returns  are  made  for  the  calendar 
year  down  to  1804,  at  which  time  the  provincial  government  adopted 
the  fiscal  year  ending  June  30,  to  correspond  with  our  own ;  but  this 
does  not  attect  the  general  showing  of  the  state  of  the  commercial 
exchanges  represented : 


Imported  into  the  United  States  from  Canada. 

Imported  into  Canada  from  the  United  States. 

[From  United  States  official  returns.] 

[From  Canadian  official  ret 

nms.t] 

OLD  CANADA. 
Fiscal  vear  ended  .Tiino  30  18.'i4  . 

t6,  721,  539 
12, 182,  314 

17,  488, 197 

18,  291,  834 
11.581,570 
14,208,717 
18,  853,  033 
18,  645,  457 
15, 257,  812 
18, 670,  773 
32,422,015 
30,  547,  267 
46. 199,  470 
26, 397,  867 

25,  064,  858 
30,  353,  010 
39,  507,  842 

OLD  CANADA. 

Calendar  vear  1854      

iJ15,  533,  09C 
20,  828,  676 
22,-704,  508 

Fisoal  year  ended  June  30,  1855  * 

Fiscal  vear  ended  Jtine  30,  1856 

Calendar  year  18.55  * 

Calendar  year  1856 

Fiscal  year  ended  .Tune  30,  18.'>7 

Fiscal  vear  ended  Jnne  30,  18.58 

('alendar  year  1857 

20,  224,  648 

Calendar  year  18.58 

15,  635,  565 

Fiscal  "vear  ended  June  30   18.">9 

Calendar  vear  1859      

17,  592,  916 
17,  273,  029 
20, 206,  080 

Fiscal  year  ended  June  30,  1860 

Fiscal  year  ended  J  une  30,  1861 

Calendar  year  1860 

Calendar  yaar  1861 

Fiscal  year  ended  June  30,  1862 

Calendar  year  1862 

23,  642,  860 

Fiscal  year  ended  June  30,  1863 

(Calendar  year  1863 

18,  457,  083 

Fiscal  year  ended  June  30,  1864, (estimated).. 
Fiscal  vear  ended  June  30  1865 

I'^irst  half  of  1864 

7,  9.52,  401 

Fiscal  vear  1864— '65       

14  820,  577 

Fiscal  year  ended  June  31),  1866  * 

Fiscal  year  1866  * 

1.5,  242,  8.'?4 

Fiscal  year  ended  June  30,  1867 

Fiscal  year  1867 

14, 061, 155 

17,  600,  273 
21,  497, 182 
21, 697, 237 

DOMIXIOX  OF  CANADA. 

Fiscal  year  ended  Juno  30^1868 

DOMINION  OF  CANADA. 

Fiscal  year  1868 

Fiscal  year  1 869 

Fiscal  year  1870 

Fiscal  year  endetl  June  30,  1869 

Fiscal  year  ended  June  30,  1870 

*  First  and  last  years  of  the  reciprocitj'  treaty. 

t  The  figures  for  the  earlier  years  in  this  column  I  take  from  one  of  the  reports  of  Mr.  William  J. 
Patterson,  secretary  of  the  Montreal  Board  of  Trade. 

The  prominent  fact  that  appears  in  the  above  statement  is  the  total 
change  of  current  that  took  place  in  the  trade  between  the  United  States 
and  Canada  in  1802.  Down  to  the  close  of  that  year,  when  the  derange- 
ment of  currency,  the  inflation  of  prices,  and  the  disturbance  of  indus- 
tries produced  by  the  war  of  rebellion  in  this  country  began  to  work 
their  effects,  we  had  been  selling  to  the  provinces  largely  in  excess  jf 
"what  we  bought  from  them.  The  aggregate  of  their  imports  from  is 
during  tho  nine  years  ending  with  1802 — eight  of  which  were  the  years 
of  the  reuprocity  treaty — was  $172,041,372.  The  aggregate  of  our 
imports  frcm  them  in  the  same  period  was  1133,230,473.  The  balance  of 
trade  in  out'  favor  was  $30,410,899.  But  in  1803  the  balance  sl.ifted  to 
the  other  side,  and  ever  since  the  preponderance  against  us  has  steadily 


show,  we 


are 


and  rapidly  increased,  until  now,  as  the  above  figures 
exchanging  commodities  for  little  more  than  one-half  that  we  buy  from 
the  British  provinces.  Indeed,  the  exchange  of  our  own  productions 
covers  less  than  one-half  of  the  amount  that  we  are  importing  from  the 
provinces,  since  the  Canadian  import  statistics  cited  above  include  for- 


M 


ws  the 
States 
e,  and 
at  con- 
[•ertaiii 
iloiidar 
(lopted 
lit  this 
niercial 


ted  States. 


■ns.t] 


$15,  533, 090 
aO,  8-28,  676 
22,-704,  508 
20, 224,  648 
15,  635,  565 

17,  592,  916 
17, 273,  029 
20, 206,  080 
22, 642,  860 

18,  457, 683 
7,  952,  401 

14,  820,  577 
15, 242,  834 
14, 061, 155 


17,  600,  273 
21,  497, 182 
21,697,237 


William  J. 

he  total 
d  States 
lerange- 
f  indiis- 
to  work 
scess  jf 
froiii   IS 
le  years 
of  our 
glance  of 
ifted  to 
steadily 
,  we  are 
)iiy  from 
ductions 
from  the 
lude  for- 


TRADI-:    WITH    HKITISH    NORTH    AMERICAN    PROV    sTES.  17 

ei{»n  eomiiio.lities  rei'-xpoiteil  from  the  United  States  to  Canada,  niidvinu' 
no  distinction  Ix'tween  tliosc  innl  the  doineHtic  exports  fnun  the  United 
States  to  Canada.  Our  own  otlit-ial  statement  of  these  Jec'Xports  shows 
the  loUowiniH'  anionnts  j;()in<;'  to  Canada  in  tlie  last  two  (is«'al  years: 
LSI)!),  }if2,8'">'^'  782;  1870,  -iiCMK;  1,525.  Maicin,!--  these  dednetions  from  the 
Canadian  importation  of  yoods  ont  of  the  United  States,  the  exelian'-e 
of  donu?stie  prodnetions  (since  we  receive  very  few  non-Ciinadian  com- 
modities tliroiigh  Canada)  stands  as  follows  for  the  last  two  years: 

18G0. 

From  Cana<la  to  the  United  States $M0, 353, 010 

From  the  United  States  to  Canada 18,  038,  400 

Balanee  against  the  United  States. 11,  714,  010 

1870. 

From  Ciinada  to  the  United  Stati's $39,  507, 842 

From  the  United  States  to  Canada 17,  705,  712 

#  

lialance  against  the  United  States 21,  742,  i;»0 


Comment  upon  the  unsatisfiictoriness  of  tliis  state  of  trade  seems  to 
be  (juite  unnecessary.  The  adverse  balance  is  vastly  too  great  to  be 
analyzed  into  commercial  "profits," as  an  a])parently  adverse  balance  of 
tratle  often  may  be ;  and  the  mode  in  which  it  is  here  arrived  at,  by 
eomi)arisou  of  the  import  entries  in  each  country  from  the  other, 
excludes,  moreover,  almost  all  the  elements  of  such  an  analysis. 

WHAT  WE   SELL   TO  THE  TROVIMCrH. 

To  show  what  commodities  are  chiefly  exchanged  between  the  two 
countries,  and  to  exhibit  at  the  same  time  the  relative  importance  of 
each  in  this  commerce,  and  the  course  it  has  taken  relative  to  each  dur- 
ing a  con.'^'iderable  period  of  years  i)ast,  1  have  compiled  a  series  of 
tables,  whicli  may  be  examined  with  interest.  The  first  table  here  fol- 
lowing is  a  summary  and  analysis  of  the  import  statistics  of  the  Do- 
minion of  Canada  for  the  last  two  fiscal  years,  and  shows  what  we  have 
chiefly  sold  to  the  four  provinces  of  the  Dominion,  severally  and  collect- 
ively, during  those  two  years. 

2  .     .• 


?:-'»t«'- 


18 


TRADE    WITH    HRITISH    NORTH    AMERICAN    PROVINCES. 


SMcmcnt  Hhoirhn/  the  rahwa  o/tluprhicipa!  vommoditicn  imi>ovU'(l  into  the  siTcml  proviiiccft  of 
the  DnmiHioii  of  Canada  from  the  Vnilvd  Stalen  duriiiy  the  two  fincal  yearn  vndvd  Jiiiir  'M), 
m\[)  and  1M7U. 

|('(iiii|iili-il  i'loiii  Cnnitdiau  oflicial  lotniiiH.] 


IHO!). 


(,'iiiu  ami  bullion. 


Siijiar,  inolaxws,  and  niclado. 
^iffats.  all  kiiulM 


Cottons : 

Hats,  caps,  &c 

(ii  iiciiil  liiinlwaro 

Coal  and  coUc 

Flour 

(jiiiiii.  all  kinds,  except  Indian  corn 

Inilian  coin 

Coriinical  ami  oatmeal 

Flax.  lii'Mip,  and  tow 

11  idcK.  liovns.  and  pelts 

I'olmcco,  iinnianiilactuii'd 

■«'ool 

"\V(i(dcns 

OlaHswarc 

jMii-iical  instiiiniciitH , 

Books  and  other  jaildication.s 

Cotton  wo(d 

Salt 


Quebec. 


Machinery 


Total,  e.xclndins  coin  and  bullion. 
All  otiier  articles 


Total  imiiorts  froi     United  States,  ex- 
cept coin  and  bullion 

Pei'centa<{e  of  artici'  -  enumerated  above, 
Percentajie  of  grain     lour,  anil  meal 


1870. 


Coin  and  bullion. 


Suirar.  tuolasse.s,  &c 
:McatH 


Cottons 

Hats,  cajis.  ite 

(ti  neral  hardware  and  .stoves. 

Coal  and  coke 

riour 

drain,  all  ("xcejit  Indian  corn  . 

Indian  corn 

Corni'ieal  and  oatmeal 

Flax,  'leni]!,  and  tow  

Hides,  horns,  and  pelts 

Tobacco,  unmanulactured 

^Vool... 

"Woolen -1 

( i  la.ssware 

iliisicul  Mistruments 

liooks,  <ic 

Cotton  w  )ol 

Salt 

Enj^nes  i  nd  machinery 


Total,  excludinti  coin  and  l)ullton 

All  other  articles 

Total  imports  from  United  States,  except 
coin  ami  bullion 


iglli  171 

«;{.■),  715 
IHH,  (17 
3'Ji).  KM 
li!0,t?.j,-. 
l:i7,  41-4 

lf<7,  44:i 
417. -iM 

i;:J,  44ti 
4,  4:«) 

i:)7,  !)7:t 

547,  405 
04(1,  K43 
147,  4(i:{ 

!!,-.  iriii 

4-J,  (I(i5 
50,  773 
4H,  :5it5 
(1(1,  o:t7 

l.fOl 

i'.i7,  :w>i 


Ontario. 


Nova  Scot  la. 


$:i,  diy,  154 


2H!», 

:);«;. 

!»l, 
14!», 

!)4, 
:i7';, 

(i07. 
'J17, 

:t,  o.")4, 
1,  :m-,', 

15, 

'jo:t, 

154, 

y7pi, 

Ml, 

i;t5, 

HI, 

i:ii, 
•j:t.">, 
147, 
'J."):t, 


1H5 
574 

4(i7 
OOti 
7.".H 
1(15 
!):I4 

■xr, 

510 
j^4t> 
0!)4 
!I!M) 

:i44 

1-JO 

\:a 

105 
,■)!)!) 
,5<t5 
I -J!) 
i:!8 


$198 


0,  351 
•J4,  0.55 
37,  Olio 
•JO,  751 
2-,',  921 
101.  i!t:t 
•-'1,  H47 

i,o:(:<,  t^iiv! 

0,  170 
Wl,  :i4(! 

2:u;,  757 

~-i.  HOO 
;i7,  .5H7 
0-J,  717 


Xew 
llrnnswick. 


•20,  70!) 

IH,  272 

f ,  28(i 

li),  or,! 
43:) 

1,100 
57,  (;74 


«i.57,  080 

!I2,  410 
(>.5.  hlH 

140,  I7S 
22.  7.57 
II,  140 
30.  105 

400,  700 
04,  .507 
.5h,  510 

121,  III; 

32,  fll 

30,  20rt 

14,  1^3!) 

IKI 

140,  001 

20,  570 

22,  000 

24.015 

40,041 

2.  0.57 

00,  57H 


4,  407,  ()50 
1,,")K5,  !(.-^3 


8,  340,  042 
2,  37fi,  Or-l 


1,00.5,000 
0.53,  805 


1,. 50 1,838 
(),V3,  803 


0, 054,  C33  I  10  ',28,  023 


74 
11 


157,  041 


83 
43 


2,  869,  793 


2,  5.59,  825       2, 154,  701 


74 
53 


70 
30 


Pereentaffe  of  articles  ennnierated  above. 
Percentagi!  of  grain,  Hour,  and  meal 


444,  Osl 
101,  808 
081,  8!)5 
141.. 5.52 
120,  870 
300,221 
208.  301 
117.843 
250,  190 
14,427 
409 
139,  882 
004,  40G 


474, 
131. 


,  438 
179 
.57,  977 
41.010 
.54,  .541 
43,  (i3(i 
85,173 
1, 1.59 
141,  0.54 


404,  593 
.33-,  834 
178,  875 
148,  743 
14IC,  300 
423,  931 
ti(;."i,  139 

4 1 , 902 

4,  103,020 

375,  290 

14,528 

25,  223 
300.  493 
247,  904 
277.  804 

.50,  072 
123,  028 

99,  230 
148,  1.59 
208.411 

07,  951 
2:11,009 


4,  249,  877 
2,204.414 


8.  749.  127 
2,412,420 


6,454.291  11, 1P1,S47 


60 
6 


78 
41 


2:t,  42(i 

19,311 

29,  443 

:i3.  451 

29,  051 

124.  .520 

1,073 

7:10,  201 

43,  :U)1 

1.5,045 

220,  740 

:J32 

51.010 

73,  259 

59 

19,9.50 

18,-240 

6,  959 

2;i,  540 

189 

1,  005 

23,  .-08 


1.  495,  ;i05 
702,  774 


01,948 
00,  072 
79.  80:l 
45.  092 
:5(i.  204 
27,  ;i48 
31,  880 

30i,;t:t3 

2,  800 
10, 227 
5;i,  293 

21.  7.52 
C7,  740 

8,  8;i2 

4,183 

60.  813 

22,  344 
30,  807 
20, 525 
05,  271 

1,577 
81,  .545 


1,108,001 
054,  0,59 


2,  258, 079 

66 
45 


1,  823,  320 


64 
24 


Total. 


^3,  970,  523 


991,  :m 

0;iti,  405 
.524,  151 

44:t,  :t!io 

277  920 
758,  005 
847,  ;i29 
2,  009,  274 
;»,  2;i0,  040 
1,  0.54,  1.57 
398,  427 
2.59,  574 
818,  034 
.■i78,  519 
42(i,  471 
:151,  198 
210,018 
193,  5.57 
224, Hi8 
344,  040 
1.52, 1.50 
529,  109 


10,  220,  :190 
5,  270,  792 


21,497,182 


79 
:i4 


3,  026,  834 


934,  048 
520,  085 
97:i,  016 
309,  438 
:i;i,«,  491 
87(i,  020 
898,  0.59 
1,2.57,  :199 
4,  400,  0.52 
420,  989 
288.  970 
187,189 
1,  120,  ;<45 
804,  .523 
4i:t,  215 
19.5,418 
205, 228 
191.. 543 
241,8()0 
419,  044 
71,  752 
478,  070 


1.5.  ((02,  970 
(i,  034, 207 


21,  097,  237 


72 
29 


•h      t 


TRADK    WITH    HKITISII    NORTH    AMERICAN    PROVING KS. 


19 


oniH'cn  of 


Total. 


rJ,  076,  523 

901, 331 
(i3G,  4fi.'> 
524.  151 
443,  ;«!io 
277  020 
75H,  005 
S47.  320 

2,  IMi'.l.  274 

3,  230,  ti4ti 
1,  ('..Vl,  1.57 

3ilf ,  427 
25i>,  574 
81 H,  034 
.178,  511) 
420,471 
351,  lOrf 
21ti,  018 
1'.I3,  557 
224,  818 
344,  0.40 
1,52,150 
52il,  10!) 


l(i,  220,  3110 
5,  270,  7it2 


81,497,182 


79 
34 


3,  02('>,  834 

934,  048 
520,  085 
973,010 
300,  438 
335,  491 
870,  020 
808,  0,59 
1,2.57,399 
4,  400,  0.52 
420.  080 
288.  970 
187,189 
1, 120,  345 
804,  .523 
413, 215 
19.5,418 
205,  228 
191.. 543 
241,800 
419,044 


f7 
15 

Bl 
59 

20 

64" 
24 

71.752 

478.  070 

l.\  002,  970 
(!,  034, 207 

21, 697, 237 

73 

;;-:->    29 

Ono  of  the  larixcr  items  (/.  (?.,  tlic  item  of  tea)  in  the  foi'ep,-oiii<>' 
li.st  of  twenty-two  coiiniiotlitie.s  or  classes  of  eoiiiiiMKlities,  wliicli,  to- 
jLictlier,  make  up  tliice-loiulhs  of  our  exports  to  tlu'  proxinces,  is  a  for- 
eij;ii  article,  simply  coincyed  tliroii;;li  American  hands,  in  bond,  to  the 
provincial  consumers.  8om<?  i)art  of  other  items  in  tiie  list  helonj^s  in 
the  same  ca  e;L>"ory  of  foiei^n  reexports.  >Vheii  these  are  allowed  for, 
the  ranu'e  of  th(^  Canadian  mark-.'t  for  American  ])rodnctions  appears  to 
be  lamentably  limited  and  almost  contined  to  the  rawest  products  of 
a.u'iienlture,  with  hardly  an  appreciable  opeiiiiijn-  for  the  benelit  of  our 
skilled  labor  in  any  department;  and  this,  too,  in  the  case  of  the  nearest 
neighbors  that  we  hav(^  upon  the  /^lobe. 

I  have  fouinl  it  imi)ossible  to  ^'ive,  for  the  provim^es  at  large,  a  com- 
parative statement  like  the  above,  enil)ra<;ing"  any  such  jieriod  as  is  nec- 
essary tor  an  historical  exhil)it  of  the  course  of  trade;  but  tlie  followin<jf 
table  approximates  that  exhibit.  It  shows  the  value  of  a  few  of  the 
principal  arti<;Ies  imi)orted  into  old  Canadiv  i^v)ntario  and  (Juebec)  dur- 
ing the  ti.scal  year  is<14-'()r),  the  last  full  year  of  the  reciprocity  treaty, 
compared  with  the  imports  of  the  same  r.rticles  in  the  tiscal  years 
1808,  1801),  and  1870. 

Statement  of  the  values  of  a  few  pri)icii)(ihii'1ir1(s  impnrlctl  into  '■'old  Canada"  from  the  United 

islutenfor  nectral  ijvavx. 


^Sititli'.s. 


18C4-C5. 


Coul i  0544,  511 

<Nittoii,  wool I  88,  780 

Wd\.  liciiiii,  and  tdw,  miiiiuiiuf'iu'tiiri'd '  120,  l^97 

Flour I  090,  124 

Grain,  all  kimls '  3,  .584,  405 

IliilcN.  lioniM.  and  jicUh" ;  20.5, 000 

Indian  meal  aJid  (lalnical ,  3(i,  022 

Jlcat,  all  kind.s : I  870,  908 

Tobaii'o,  unniamifactured '  277,  007 

Wool ,  174,  071 


1807-'«8. 

l808-'00. 

l,-09-'70. 

,«791.008 

?705,  377 

.?,=04,  500 

213,  194 

295,  ItiO 

353.  584 

147.  -0() 

1,53,  903 

105.  105 

94,  444 

0.34,  5!)2 

1.59,  H)5 

3.  (10.5,  998 

4,  075,  105 

4,413.1-25 

1,071,999 

I'M.  749 

1,000.  !t89 

47,  805 

40.  524 

14.937 

230,  332 

519.991 

440,  702 

450,  288 

800,  9()3 

722.  432 

253,  .JG 

420,  288 

400.  <JH3 

WHAT  ^\Y.   \WY   FROM  TUE  PROVINCES. 

The  return  trade,  or  what  we  ha\e  chietly  bon;;ht  from  the  provinces, 
can  be  exhibited  more  comprehensively,  in  histi)ry  at  least,  as  will  be 
seen  in  the  table  following-,  which  shows  the  values  of  the  leading  arti- 
cles imi)orted  into  the  United  States  from  all  the  British  Possessions  in 
Xorth  Ajnerica  during'  a  series  of  years.  The  series  cannot  be  made  as 
complete  as  I  should  \\  ish,  for  the  reason  that  articles  imported  under 
the  reci[)rocity  treaty  were  not  discriminated  for  several  years  iu  the 
othcial  trade  records  of  this  Government. 


20 


TKADE    WITH    HUlTISll    NORTH    AMEKICAN    PROVINCES. 


^ 
_» 


('oiiii)((r((lirr  stall  iiiciif  for  xcvcritl  nciiVH  hfinr,  (hirhii/,  and  xiiicr  lliv  rvc'iprovilji  Inatii^of  llie 
idliic  (if  thv  itv'uiniml  uvIIcUh  iiiiimilcd  hilo  the  i'.iilcil  iStulcn  from  the  BriliHh  Muitli 
A mtriron  l'oMM(Hnioiin. 


1854. 


'W'odil  mill  niiinufiictiinH  til' 
\viM)il.i(  xri'iit  ciiliiiict  woimI)' 


AiiiiiiiiU, 
Wh.iit, 
FIoiiv . . 
Brrli-y . 


IVllIK 


OlltH  . 

K.v 

Proitiicts  of  flnlH'i'lcH 

C<ml 

l'n)visiiiii.s  iiikI  tallow. . . 

IJiittrr 

AVnid.  niw  iiiid  Hccco. . . . 

Iliilt's  1111(1  skiiiH  

Pi.tiitors 

Vur-  mill  t'lir  nkiiis 

(i.v|i.imii,  uii^iKmuil 

I'ijj  iron 

AkIms 

Coin  mill  liiillioii 


r.i, 
2,  n(i!i, 

1,  7i>-J, 

r», 
:n, 

1,(01. 

■i, 

1Q6, 
lilt, 
34, 

PH. 

i:<, 

10)1. 
110, 


KiO 
f'il 
0*0 
7H!) 

:m 

lOH 

ao'j 

■Uif< 
774 
4111 
811 
OfiO 
7-J!l 
40.1 
!)-J0 
114 
840 


1M5. 


1H0». 


142,  0(:2 


^820,  0.".!» 
42.  120 
l,441.:i!l7 
l,84!l,  111!) 
!I0.  H22 
111,  ((7.j 
;t2.  tiOl 

8:t:t.  :mi 

24:t,  7H4 

4,  o;i8 
84.  77:1 
i:t.  h!)o 
:i8,  r>!ia 

12!t.  071! 
:>,  077 

107,  i;)o 

100,  882 


83.  203.  90(i 

l,3.M,  173 

l.O.'iO.  r(l3 

2,  137,  (i  10 

1,r.24,22l 

1,418,723 

12,  .'»77 

730,  .^)4i» 

7ri7,  004 

I. '•.0,782 

320,  (134 

781,807 

137,  113 

147.  3H) 

143.  133 

2.'i,  882 


18,  445 


4()0.  020 
C,  536,  478 


1863. 


91  887,  580 
.\.')03,  318 
l,(i!M.  010 
2.  070,  348 
4,  003.  202 
2,210,722 
72,  000 
2,  213,  .384 
1,223,081 
KM,  344 
OOH.  <I17 
1,V27,275 
228,  ((!)() 

"  2ii022 

<;  1,430 

f(i,  320 

41.j,  3!)H 

4, 044,  005 


1807, 


K431, 

1,0(12, 

3,  2ti2, 

1,70,"., 

2,012, 

2.-17, 

14<), 

2,  (ir.4, 

02.'., 

81, 

048, 

201, 

81, 

112, 

133, 

04, 

204, 

107, 

8, 500, 


(l.W 
!)0(l 
h.-|0 
2H5 
.■.47 
085 
301 
040 
447 
.'.00 
102 
(183 
f05 
238 
403 
000 
345 
207 
173 


1H09. 


S7,  17(1,33(1 

3,  471,.'>K) 
1,073,  Ov!!) 

440,  003 

4,  024,  3-JO 
143,  l!H) 
1.-.7,  731 

l,.5()."i,  2!..» 

7.".8,  .•)8rt 

1,420,340 

71.".,  300 
43.-.,  .-.07 

42,  045 
2311,  101 
133,310 
381,  102 

4.5,  .■)0!> 
2,  700,  548 


DISTRIBUTION  OF   THE   TRADE. 

The  fiict  tliat  in  our  trade  with  the  provinces  the  intere«t  of  the  East- 
ern and  Middle  States  is  ahiiost  wliolly  that  of  iniyers,  whik'  the  inter- 
est oi"  the  Western  States  is  almost  wholly  that  of  sellers,  could  hsirdly 
escape  the  notice  of  any  one  who  examines  the  fore.s;()in<;'  tables.  If  we 
examine  by  customs  districts  the  retiivis  made  for  the  last  tiscal  year, 
of  imitoits  from  and  domestic  exports  and  forei*;'!!  rei'xports  to  the  Ih'it- 
i.sh  American  provinces,  we  tind  the  distribution  of  the  trade  to  be  in 
the  following'  proportions : 

IV  r  cent. 

Im])orts  in — 

Vermont  <listiict 27. 1 

Oswcf^o  district 17.  G 

Ni..,4ara  (Suspension  bridge)  district !■!.  7 

r.uflalo  di.strict 8.  7 

CMiamplain  district G.  0 

IJosttm  district 4,  G 

Alt  other  New  England  districts 4.  G 

Oswe.gatchie  (Ogdensburg) 3.  8 

All  other  collection  districts 12.  y 

Domestic  exports  from — 

Chica.i?o 13.  5 

Milwaukee 13. 5 

Toledo 9. 5 

Port  Huron 9.  9 

Vermont 9. 3 

Boston 8.  9 

Detroit g.  1 

Cleveland 59 

All  other  ports 23.  4 


1 

c 

i     ( 


//»/,  of  llir 
hU  yurth 


1869. 


«:,  17(1,  ;nii 

u,  ni,."tf<o 

1,  (i-:«,  ti-J'.i 

.l4(i,  *io;< 

■1,  (iji,  ;«> 

1  i:t,  mo 

i.-)7,  ■:m 

i,r)(iri, -j!..! 

17)f',  .VH 

i,4-^.t,:ini 


715, 

;«•>!» 

4:jr., 

.707 

4-2, 

045 

8:«), 

104 

lUH 

mo 

'.Jt*! 

llt'i 

45 

.")(!!• 

2,  790 

548 

•lie  Ea.st- 
he  iuter- 
(1  liardly 
s.  If  we 
icnl  year, 
the  IJrit- 
to  be  iu 

Per  cent. 

...  17.  G 

...  14.7 

...     8. 7 

...     CO 

. . . .     4.  0 

. . . .     4.  (5 

. . . .     3. 8 

.     .     •     .  J.W*     Lf 

....  13.5 

13.  5 

....  9. 5 
....  9. 9 
....  9.  «j 
....  8. 9 
....  C.l 
....     5. 9 

....    t^Ot  1 


if 


I 


3 
^ 


TRADE    WITH    15K1TISH    NOIlTIf    AMERICAN    rROVINCKS.  21 

I't^r  cent. 

Forci^^ii  rci'xijort.s  IVoni — 

New  York 51.  9 

IN.itlaiMl  Ii3.  ({ 

I5(»st<ni i;».  0 

All  other  ports 10. !» 

A  CO.n.MEUCE   (»E   (:(»HVE^'IE^^(•E. 

To  a  reinarkahle  extent  onr  [ncsciit  trailc  witii  the  urovinees  \h  what 
ini^ht  be  ehaj-acteiiziMl  jis  a  ])iiio  <M)niiiier<M'  of  eoiixciiioiiee,  ineiih'iit 
merely  to  the  eeoiioinieal  «listrilnilioii  of  products  which  arc  coiiiiim»ii  to 
both  countries.  Wc  exchaii^'c  with  them  almost  c(inal  qiiaiititi«'s  of  the 
cereals,  and  iilmost  ('((nal  (|iiantilies,  on  an  avcra.^c,  of  tloiir.  lOxcept  so 
fjir  as  concerns  the  barley  that  Wi'  liny  IVoin  tlieiii  and  the  Indian  corn  that 
we  sell  to  thenj,  this  trade  oiijiimites  on  neither  side  in  any  m'cessity, 
but  is  chietly  u  matter  of  simple  convenience,  of  ec(»nomy  iu  carria<;'e,  or 
of  diversitication  in  the  «pialities  of  jiraiii.  Similarly,  and  for  the  like 
rea.sou,  we  ex<;hang'e  with  them  almost  e(|ual  <pumtities  of  coal.  We 
sell  them  a  certain  quantity  of  hides  ami  skins,  and  buy  half  that  (pian- 
tity  of  the  sauu^  articles  back  from  them.  On  the  other  hand,  they  .sell 
us  ])rovisions  and  wool,  and  buy  our  ])rovisions  and  wool  to  half  the 
amount  in  ictui'ii.  N»)t  less  than  one-third,  probably,  of  the  trad«'  now 
carrieil  on  between  the  United  iStates  and  the  nei;;liborin<j;'  i)roviuc<'s  is 
of  that  ehara(;ter,  and  the  fact  that  it  is  ke[)t  up  with  .so  little  diminu- 
tion, notwithstandiu}.''  the  imposition  of  duties  on  both  sides  of  tlu^  fron- 
tier, is  sigiiiticant  of  the  value  of  the  advantages  that  are  found  in  it. 

THE  KECiPlJOCITY  TIIEATY. 

The  imrowness  of  the  i'an;;e  of  commodities  within  which  the  I»ulk  of 
the  trartic  between  the  two  countries  is  now  restricted  has  already  been 
l)ointed  out  as  the  eousi)icuous  feature  of  this  commerce  in  its  i)re.sent 
state.  It  ji'oes  very  little  beyond  the  rawest  jnoducts  of  a^iiculture,  (in- 
cluding animal  food  as  such,)  and  out  of  this  fact  there  follows,  as  an 
inevitable  consequence,  the  inequality  which  we  find  in  the  exchau,t;es — 
the  heavy  excess  of  our  importations  from  the  provinces  over  what  we 
export  to  them  ;  since  the  trade,  contined  to  nu  interchange  of  the  same 
kiml  of  commoditi<\s,  must  be  i)retty  much  in  the  ratio  of  forty  millions 
of  consumers  on  one  side  to  four  millions  on  the  other.  The  old  treaty 
of  so-called  reciprocity  contributed  nothing  directly,  and  very  little  in- 
directly, to  the  rectiflcatiou  of  this  commercial  ineipiity,  and  for  that 
reason  it  was  a  fraud  upon  the  United  States.  It  established  free  trade 
between  the  United  States  and  the  I>riti.sh  North  Anu'rican  provinces 
iu  the  following  specitied  articles,  and  in  those  only  : 

Grain,  Hour,  Jiiul  broiidstutTs  ;  •iniiiiaLs  of  all  kiiuls;  asluis;  tVesli.  sii!()l<f'<l,  and  salted 
meats;  tiinbor  and  lundjor  of  all  kir.dw,  rounil,  hcwi'd,  and  .sawed  and  unnianulacturod  ; 
C(ttt<>:i,  wool,  seeds  and  vegetables;  nndried  iViiits,  dried  trait ;  lish  of  all  kinds;  pro- 
diict.s  of  iisli  and  all  tlie  creatures  living  in  the  water ;  poultry ;  «'ggs ;  hides,  furs,  skiu.s, 


"^t 


22 


TIUDE    WITH    IlliiriSII    NORTH    AMKKICAN    I'ROVINCKS. 


i>r  tnils,  iiiiiln'sscd  ;  nfonc  nr  iniirlili' in  its  cnidc  or  nuwroiiijlif  sfntc;  Kliifc  ;  ItiiffiT, 
cIiiTsc.  tiill'iw  ;  (in-M  (tt'ini'tals  of  nil  liimlH;  ('(iiii;  iiiiimiiiiiriiilurctl  loltiicio  ;  pifcii,  far, 
tiir|>ciitiiH' ;  liiowoiul  ;  iilmitH,  slinilm,  trees  ;  pelts;  wool;  lislioil;  lietMiinl  hrooiii-eoni  ; 
Itaiks,  jivitHUiii,  nfoiiiitl  iiiul  iiii^irouiHl;  wntiinlit  <>r  iiii\vioiijj;lit  burr  iiiid  griiulstoiii-w ; 
dyestutl's :  lla\,  iieiiip,  and  \i>\\,  uniiianiilaetiiied  ;  ra^s. 

With  two  or  tlircc  exceptions  only,  tlicso  iiro  oonitnodities  wliicli  both 
conntiics  in'oducr,  i\m\  with  n'tcrriicc  to  which,  of  conisc,  the  tVciMhun 
of  the  markets  of  the  I'niti'd  States,  eontainin;;'  tea  times  their  ixtpiihi- 
tion,  was  of  vastly  more  value  to  the  |>rovinees  than  the  IVee<h)m  of  their 
markets  eonld  possihly  be  to  the  rival  inodiicers  of  the  United  States. 
Moreover,  the  sehednh^  t>f  raw  commodities  covered  by  the  treaty  em- 
braced, on  the  one  hand,  absolutely  every  product  of  the  provinces  for 
V  hieh  they  son^^ht  a  foreij;n  market,  while  it  ineliid<'d,  oti  t)ie  other 
han<l,  the  products  of  but  one  departnu'iit  of  the  more  varied  industries 
of  this  country.  I  low  it  operated,  so  far  as  our  trade  with  the  old  Cana- 
dian provinces  is  concerned,  may  lit^  exactly  shown  by  comparing;"  the 
statistics  of  free  and  dutiable  intports  in  each  country  from  the  other 
during'  the  period  of  the  existence  of  the  treaty  : 

Sitifimciif  com jiihd  f mill  the  ofjivlal  ninvuxln  the  Vii'ilcd  Sldtrn  and  in  C/iiiatht,  nhoivhif/  fhe 
imparls  ofdicli  coitiilrii  J'roiu  lliv  oilier,  Jhcttiid  diiHiildi,  dnriiiy  llic  ijintciitr  of  Ihv  treuhj 
of  rcciprocilji. 


Fnitcil  States  iiiiimftN  from  Canmla.     \  Fi-diii  V.  S.  j    Ciinadlan  iniiioitH  from  the  Uiiltoil  States,     f  From 
ollici.il  ri'liinis.]  CaiiiMliiiii  ollicial  ri'liiriiH.  1 1 


FiHcnl  year. 


If'.'l,''!  , 

1K")7  . 

lH,")fl  . 
If,")'.!  . 
l.-Cd  . 
]H(il  . 

18(>;< . 

18fi."<  . 


Totals. 


Dutiable. 


Hill, 

:n:t, 

5()4, 

4;i4, 

227, 
4-J.5, 

1,  1(11, 
V4H, 

.T7I4, 


81H 
Oi)7 

nr.2 
ncu 

240 

().".!) 

i)81 
374 

ii4:< 


I'roe. 


Calendar  year. 


14,  .WC,  175 


17, 
It, 

i:j, 

tH, 
IH, 

IH, 

;!i, 

2!», 
4 -J, 


f^7(), 

H47, 

2(i7, 

7o:i, 

41^1, 
287. 
(130, 
24.'), 
2(10. 
'W, 
4.'-.4, 


4ilfi  I 
H22  ' 
737  I' 
(ilH  ' 
74H  i 

:m  ; 

217 
7.')3 

(i38  ! 

(134 

H03 

H27 


230,  702, 284 


18.-1.5 

lf-.-.(> 

18.')7 

IMrt 

le.'in 

18(i0 

18(il 

18(12 

I8(i3 

IrtW,  (first  half) 

M\'\  (tiscal  year) 

I8(i(),  (tiseal  year) 

Totals 


Dutiable. 


I4!>,  472 
770,  024 
Olio,  42H 
473,  007 
030,  371 
.')32,  .'»44 
34(i,  0H3 
128,783 
074,  300 
177,  003 
001,220 
302,  107 


Free. 


$0,  370, 

0,  033, 

111,  2.-|8, 

7,  Kil, 

8,  .'i.'iO, 
8,  740, 

ll,8.'i0, 
l(i,  .'iM, 
14,  483, 

:>,  77.-., 

10,  820, 
10,  880, 


204 

r.81 

220 

or.H 

.'■.4,'> 
48.-) 
447 

077 
287 
308 

007 


80, 200,  .154         124,372,223 


rtimatod  Canadian  proportion  of  trade  with  theliritish  North  American  Possessions,  not  discrimina- 
1  in  the  retmim  for  I8(i4. 

Tljose  litt\ins  are  taUen  from  a  tahlo  compiled  by  the  .secretary  of  the  Tdontreal  Board  of  Trade,  Mr. 
,r  lliain  .T.  Patterson. 

The  trade  represented  in  the  columns  of  free  goods,  on  the  two  sides 
of  the  foregoing  table,  is,  of  course,  the  trade  in  which  the  operation  of 
the  reciprocity  treaty  is  to  be  looked  for.  AVith  the  tratlic  in  duty-pay- 
ing commodities,  'vhich  was  carried  on  Avholly  outside  of  its  provisions, 
the  treaty  had  nothing  to  do,  except  so  far  as  that  independent  com- 
merce was  indirectly  stimulated  by  the  activities  to  which  the  treaty 
gave  direct  encouragement.  The  actual  treaty  trade,  therefore,  which 
occurred  between  the  two  countries  during  the  period  of  the  existence 
of  the  conveutiou  of  1854,  shows  au  inequality  of  exclui^ges  very  nearly 


-..A 


TRADH    WITH    HUITI>>n    XoltTH    AMKIUCAN    riiOVIXCKH. 


;  liiitirr, 
itch,  tar, 
Diii-curn  ; 
KlHtoiu'Ji ; 

eh  I)(>th 
iVcedom 
pnpnlii- 
of  their 
StiitcM. 
'iity  eni- 
iices  lor 
w  oWwv 
(In  strict 
1(1  Ciiuji- 
liiijj;  tlic 
lie  other 


Khoirhtf)  the 
fihc  treaty 


t('8.    [  From 


Free. 


$9,  :nit,  204 

!•,  !i;t;»,  r.84 

10,  •>:>!<.,  -Mi 

7,  l(ll,iir.rt 

H,  55(1,  n-iri 

8,  740,  485 
ll,Hr)!t,  447 
K),  r)l4,  077 
14,  if\i,  'iHl 

r.,  775,  ;WH 

10,  M!l,  :i5l 
10,  880,  (i(i7 

I24,  372, 223 


ot  discriniiiitv- 
of  TracTo,  Mr. 

two  sides 
eratioii  of 
dnty-pay- 
rovisions, 
dent  com- 
the  treaty 
ne,  whieh 
existence 
ery  nearly 


in  the  pi'opoition  of  two  to  one.  Two  hnndred  mid  thirty  nine  millions 
of  dolhirs' worth  of (';iniidi;in  prodncts  foniid  a  free  iniirket  in  the  I'nited 
Stati's,  iiinU'r  the  provisions  of  the  treaty,  ii;;ninHt  »uie  hnnilii'd  and 
twenty  four  inillionsof  Anierienn  products  for  whieh  the  trenty  op«>!ied 
a  free  niiirket  in  the  Cninidiis.  Of  tin'  total  Ciiiiiidiiin  eoniinodities  .sold 
iti  th<»  Hniti'd  Htntes  dm inj,'  the  tw«'lve  yenrs'  ]>eriod,  \)i  i»er  cent,  eanio 
tre<'  iind  hnt  (►  per  cent.  pai<l  dnty,  while  ."iS  percent,  oidy  of  the  Amer- 
ican commodities  sold  in  Ciiimdii  passed  free  to  their  mnrket.  and  IL' per 
cent.,  or  iil»ont  hidf,  paid  trihut*'  ttt  the  enstoni-honscs  of  the  provincial 
^'overnmeid.  Moreover,  the  entire  sales  from  this  eonntry  to  <"anada — 
free  f^ooils  and  dutiable  ^jfoods,  (h)mestic  products  and  foreign  rei'X- 
poits — alto;.iether  au;ii'e^(at<'<l  less  for  the  twelve  years  by  )!<i;<;,(>()(»,(K)0, 
than  the  Jhr  f/ooflu  whieh  Canadian  producers  were  einihled  by  the 
treaty  to  sell  in  the  Tnited  States. 

This  was  certainly  \(M'>  tar  fr(»m  beinj>'  an  arrau^i'ement  o\'  rvciprocid 
free  trade,  and  lu)  statistical  injucnnity,  even  takinji'  advantaj:'*^  of  the 
imperfect  cxjtoi't  showin*;'  of  ofticial  I'eturns  in  eitlu'i'  count r\,  could  ever 
make  the  treaty  ai>i»ear  otherwise  than  a  badly  <nie-si*U'd  barj;ainso  far 
as  its  commenual  stipulations  were  conceriHMl.  AVhether  the  fishery 
l)rivilejL>'es  and  the  freedom  of  the  navipition  of  the  St.  Lawrence,  Avhicli 
were  thrown  as  make-weij^hts  into  the  scale,  a]iproximately  constituted 
an  equivalent  for  Jie  excress  of  advanta;i,e  in  trade  that  was  gained  by 
the  proviiK'es,  is  a  (pu'stion  jiboui  which  soiiu'  differences  of  o[)iuion 
have  existed.  It  is  certain  that  the  privil'^ne  of  navi<;atin;4'  the  Si. 
LawreiK'(?  nMuained  an  almost  nniised  iHivde;i;'e  durins;'  the  whi>le  term 
of  the  treaty.  J  low  far  it  mig^lit  be  made  valuable,  Iv  an  enlarinemeut 
of  the  Welland  and  St.  I  awrenee  canals,  I  shall  not  undertake  to  dis- 
cuss. 

THE  FISHERIES. 

So  far  as  concerns  th'^  fisheries,  there  can  be  no  doubt  that  the  greater 
freedoui  which  our  iishermen  enjoyed  under  the  treaty,  in  i>ritish  waters 
and  at  the  provincial  ports,  was  of  imi)ortance  to  thetn.  But  it  may 
seriously  be  doubted  whether  the  worth  of  all  that  they  gained,' over 
and  aboVe  what  justly  belonged  to  them  before,  and  what  justly  belongs 
to  them  now,  under  i)rior  treatiec,  was  greater  than  the  worth  of  the 
freedom  of  the  markets  of  the  United  States  to  the  peo[)le  of  the  niari- 
1^  time  provinces  .alone.  It  would  seem  that  a  full  ecpiivalent  for  our  fish- 
ing privile,ges  Mas  given  to  those  provinces  to  whom  belong  whatever 
rights  of  proprietorship  there  are  in  the  coast-fishing  grounds,  and 
that  all  the  encu'inous  unreciprocated  trading  advantages  given  to  the 
Canadas  in  the  bargain  were  a  pure  gratuity.  Under  the  operation  of 
the  treaty  the  ni.iritime  provinces  increased  the  sale  in  our  markets  of 
the  products  of  their  own  fishing  from  §l„(K)4,ir)8  in  1854  to  $2,213,384 
in  1805.  Neither  their  fishing  industries  nor  their  fisheries  sustained 
anj'  detriment  from  tiie  admission  of  American  fishermen  within  the 


O,' 


24 


TRADE    WITH    llklTISIT    NORTH    AMrillCAN    PROVINCES. 


tlireo-inile  iiishoro  line.  Avliile  tliov  proiitodto  no  ."=*iiiall  extent  from  tlie 
sellin^j;  of  snpplie.s  to  tliom.  How  mncli  of  actiinl  ]H'ofit  the  ^New  ICng- 
laiid  tisliermen  found  in  the  pi'ivih^f»('  of  the  insliore  tislieiies,  to  offset 
tlie  aeconipanyin;j;  comiK'tition  of  the  provincial  fishermen  witli  tlieni  in 
their  own  home  markets,  it  is  liard  to  estimate,  since  our  statistics  are 
lamentably  deficient  in  facts  bearinji  n]>on  the  subject.  Apparently, 
however,  the  vahie  of  the  treatj'  to  them  a\  as  found  more  in  the  relief 
that  it  afforded  from  th»'  annoyance  and  harassing;'  application  of  pro- 
vincial reuuhitions.  tl  i  in  the  yield  of  the  fishinj;'  grounds  to  Avhi(;h 
tlu  V  wrre  admitted  bv  it.  At  all  events,  the  records  of  the  enrolled  ton- 
uage  employed  in  tlu^  mackerel  and  cod  fisheries  ^how  no  stimulation 
of  the  business  during'  the  period  of  the  reciprocity  treaty,  but  unmis- 
takably the  reverse,  as  may  be  seen  in  +he  statement  below,  taken  from 
official  .sources : 

Statement  of  the  enrolled  tonnnge  eniploijed  h>  the  rod  and  muclcrel  fisheries  from  1852  to 

1869,  inehisire. 


Years. 


18.52  . 
If  53 
1854  , 
!-:,:> . 
l«(i 

1857  . 
l.y>8  . 
18.50 
IHHI  . 
IsOl  . 


Coil  flsluTy. 


Mackpi'til  flsli- 
ery. 


102. 

liiil, 
]0:> 
102, 
!'5. 
104, 
110, 
120, 

]:«;. 

127, 


039 
227 
104 
927 
8Hi 
.572 
891) 
;577 

t;.5:i 
;uo 


59, 

a,"., 

21, 
29, 

2?', 

27, 
2(1, 
54, 


546 

8.50 
041 
(i24 
880 
327 
553 
0G9 
110 
295 


Tonra. 


18C2. 

1803  . 

1804  . 
1805* 
1800  . 
1807  . 

1808. 
180'''  . 


Coil  fi.sl)crv. 

JllU' 

I'ly. 

122,  802 
117,  289 
92,  744 
59,  228 
42,  790 
30,  708 

80,  .590 
51,018 
55,  498 
41, 208 
40,  589 
31,  49S 

83,  8t0 
62,  704 

'-Alter  180.5  tlic  stilted  tisiinimc  is  citlicr  ]);irtly  or  w'loHy  liy  "new"  ndmcasiireineiit,  -wlii"!!  proilncos 
.sonic  .iiiiiMM'Ul  iliiiiiutition  tint  is  not  real. 

It  appears  from  the  foreooing  statenuMit  that  an  actual  and  consider- 
able decline  in  the  number  of  American  vessels  engaged  in  the  mackerel 
fisheries  occurred  during  the  first  six  years  of  the  reciprocity  treaty,  and- 
that,  with  the  single  exception  of  the  year  18G2,  the  business  never  em 
i>loyed  so  much  tonimge  throughout  the  whole  peiiod  of  the  treaty  as 
it  had  employed  in  the  two  years  before  the  treaty  wa8  negotiated, 
".  hile  the  tonnage  ])revi()usly  ein]>loyed  in  the  cod  fisheries  was  barely 
ke]>t  engaged  until  18(1;},  and  after  that  likewise  declined. 

The.se  facts  are  certainly  very  fai'  from  sustaining  the  prevalent  idea, 
particularly  prevalent  and  mu.ch  cherished  in  (Canada,  that  the  conces- 
sions added  to  our  lishing  rights  on  the  ]]ritish  North  American  coasts  by 
the  recipio(dt.y  treaty  greatly  promoted  the  Nev.^  England  fishing  inter- 
ests, and  were  of  such  weighty  value  as  to  counterbalance  the  nneven 
sharing  of  the  commercial  i)rivileges  negotiated  in  the  same  contract. 
Tlu  importance  with  reference  to  these  lishcries  that  came  to  be  attached 
to  the  treaty  of  isr>4,  undcmbf.  dly  grew  out  of  the  welcome  experience 
of  relief  from  unfriendly  laws  and  harassing  otticials  which  the  Ameri- 
can fi.shermen  enjoyed  under  it,  and  the  welcome  quietus  that  it  gave  to 
quarrels  and  (piestions  which  were  constantly  giving  rise  to  dangerous 


ra 


TRADE    WITH    imiTISII    NORTH    AMERICAN    PROVINCES. 


25 


kerel  flsh- 

fiy. 

1*0, 

590 

51, 

018 

55, 

4'.I8 

41 

•JOf< 

41) 

5r^'.) 

■M 

4<tS 

piodiK-es 


! 


national  controversies.  ]S"ow  tliat  the  treaty  lias  eeased  to  exist,  it  is 
tlie  recuiTeiice  of  tljose  same  annoyances,  aiul  their  consecjnence  of  ill 
l)loo<l,  far  ihore  than  the  loss  of  the  "inshore  lisherics,''  or  the  <lisi)nte(l 
(hlinition  of  the  "inshore  lino,"  that  j>ives  serionsne-^s  and  importance 
to  the  fisheries  question.  That  they  have  been  revived  in  the  most 
troublesome  foxins  that  can  be  given  to  them — as  they  were  nuule 
troublesome  to  the  fullest  extreme  before  the  treaty  of  recii)i'ocity  was 
negotiated — for  the  i)olitii'  pnrpose  of  heifthtening'  the  imi)ortance  to  this 
country  of  some  compromise  that  will  end  them,  theie  is  little  room  for 
<luestioning-.  Nor  does  it  apjx'ar  very  doubtlul  that  thii-'  policy  origi- 
nates at  the  same  source  from  whence  pro(;eeded  the  shrewd  dii)lomacy 
by  which,  in  the  treaty  of  1854,  th«  nijtritime  pro>ince8  were  made  to 
furnish  the  consideration  for  privileges  in  trade  from  which  U.e  Cami- 
dian  provinces  drew  tiie  lion's  share  of  profit. 

As  between  the  United  States  and  the  maritime  provinces,  which  are 
chiefiy  the  parties  in  interest,  the  fisheries  question  could  ]>robably  be 
settled  very  easily.  Those  provim^es  would  gladly  exchange  the  free- 
dom of  their  fishing  grounds,  and  every  desired  laiubng  and  harbor 
])rivilege,  for  free  access  to  American  markets  with  taeir  fish,  their  oil, 
their  coal,  their  gypsum,  their  lund)er,  their  grindstones,  and  other  pro- 
ducts, and  the  best  side  of  the  bargain,  so  far  as  actual  dollars  and 
cents'  worth  is  concerned,  wcmld  be  theirs  at  that.  Indeed,  so  api)arent 
to  the  people  of  the  maritime  pnninces  are  the  advantages  of  such  an 
adJustnuMit  of  things,  that  the  sentiment  in  favor  of  secnriug  it  by  actual 
annexation  of  thenrselves  and  their  fisheries  to  the  I'nited  States  has 
strength  enough  to  be  boldly  outspoken,  and  to  support  at  least  two 
])rominent  organs  of  its  public  expressi(m  in  the  province  of  Nova  Scotia. 
Had  an  eftbrt  been  nuide,  at  the  terndnation  of  the  iiie<piitable  treaty  of 
reciprocity,  to  negotiate  a  settlenumt  of  the  fisheries  (piestion  on  the 
basis  of  free  trade  with  the  ju'evinces  to  whom  the  chicHy  valuable  fish- 
eries ])elong — then  se[)ara<^e  as  the  since  confederated  ])rovinces  were — 
the  situation  of  affairs  in  Uritish  North  America  nught  now  have  been 
considerably  different.  .' 


it 


m  EECIl'ltOCAL  FEEE  TEADE  PRACTICABLE? 

It  is  made  plain  tnough  by  the  showing  of  the  facts  ])resented  in  this 
rei)ort  that  abundaid  reasons  exist  for  a  strong  desire  on  our  part,  as 
well  as  on  theirs,  to  bring  about  an  adjustment  of  our  commercial  re- 
lations with  all  the  British  colonial  states  that  are  in  neighbdihood  to 
us  an.d  especially  with  the  Canadian  i)rovinces,  upon  a  more  liberal  and 
more  natural  footing.  But  it  is  made  e«pndly  ))lain  that  the  Uiuted 
States  can  ne\er,  in  Justice  to  themselves,  effect  that  adjustment  upon 
anything  like  the  bases  of  the  old  treaty  of  reciprocity.  We  v.ant  a 
more  free  and  a  nu)re  (jxteuded  intercourse  in  trade  with  the  four  niil- 
lions  of  people  whose  territory,  in  so  many  respects,  is  the  geograjdiical 
complement  of  our  own ;  but  we  want  that  freedom  of  intercourse  to  take 


26 


TRAbE    WITH    BRITISH    NORril    AMERICAN    PROVIN'CES. 


a  range  considerably  beyond  the  raw  pro(bictions  in  wliicli  the  two  conn- 
tries  are  mere  competitors  of  cacli  other,  and  witli  reference  to  which 
onr  markets  are  necessarily  of  far  greater  valne  to  the  piovinces  tliau 
theirs  to  us.  We  want,  not  merely  to  exchange  breadsturtS;  and  pro- 
visions, and  coal,  an<l  hides  and  tallow  Avith  them,  but  to  sell  them  (mr 
cottons,  our  boots  and  slioes,  our  machinery,  and  oiu*  manufactures  gen- 
erally, in  trade  for  tlieir  lund)er,  their  live  Sto(;k,  their  ashes,  their  plas- 
ter, their  fiu's,  their  minerals,  and  the  general  products  of  their  farms. 
We  want,  in  fact,  such  an  {idjustment  of  tlie  trade  that  the  provinces 
shall  not  sell  what  they  have  to  sell  in  the  Unitcel  States  and  buy  what 
they  luive  to  buy  in  Great  IJritain. 

•  Is  the  arrangement  of  a  reciprocal  free  trade  extended  to  thai  range 
of  connnodities  practicable  ?  Ai)parently  it  is  not,  under  ])resent  con- 
ditions. If  the  free  admi  -^'ou  of  American  connnodities  is  suggested 
in  the  ])rovinces,  there  arises  at  once  the  objection  that  their  relations 
with  Great  Britain  forbid  it;  that  they  cannot  discriminate  against  that 
country  in  tavor  of  this,  and  that  their  reveinie  necessities  will  not  per- 
mit the  renK)ving  of  duties  from  the  products  of  both.  Nor  could  we 
on  this  side  afford  the  introduction  of  a  state  of  free  trade  between  our 
territory  and  the  provinces,  with  the  circn.n.stances  of  the  two  countries 
remaining  as  they  are;  with  liigh  prices  and  high  wages  prevailing  upon 
one  side  of  the  line,  and  low  wages  and  low  prices  luevailing  upon  the 
other;  with  th(i  industries  of  the  two  people  toned,  if  we  may  so  express 
it,  in  \\idely  diiferent  keys.  To  obliterate  the  boundary  line,  commer- 
cially speaking,  while  these  contrasts  of  circuiustance  and  the  causes 
behind  them  existed  to  still  define  it  in  every  industrial  respect,  would 
sinqdy  invite  the  reujovalof  a  good  part  of  our  maiuifacturingestablish- 
nuMits  a(;r(Kss  the  frontier,  to  enjoy  the  cheap  scale  in  making  and  the 
dear  scale  in  selling  their  products.  Of  course,  time  would  tiiially  level 
all  the  differences  existing  at  first,  but  the  process  would  assuredly  be 
an  expensive  one  to  the  United  ^States. 


A  ZOLLVEREIX. 

It  appears,  therefore,  that  an  intimate  freedom  of  commerce  between 
thi.s  country  and  its  northern  neighbors,  which  is  so  desirable  for  both 
nrties,  cannot  be  contemplated  except  in  connection  with  a  material 
t'l  ange  in  th.e  conditions  of  the  foreign  relationship  that  the  i)rovinees  sus- 
tain towai-d  us.  It  involves,  of  necessity,  an  entire  identiticatior.  of  the 
material  interests  of  the  two  countries,  by  their  c(»mmou  associatit)n,  in 
some  form  or  other.  If  the  provinces  do  not  choose  to  become  one  w  ith 
us  i)(»litically,  they  nuist  at  least  become  one  with  us  commercially, 
before  the  bsuriers  are  thrown  down  which  shut  them  out  from  an  e(pml 
particii)ation  with  us  in  the  energetic  working  of  the  mixed  activities 
of  the  new  world,  and  which  deprive  us,  in  a  great  measure,  of  the 
rei>nfore«'ment  that  »hey  are  capable  of  bringing  to  those  activities. 
The  alternative  of  annexation  is  the  zoUverein,  or  a  customs  unic  ,  after 


"**? 


TRADE    WITH   BRITISH    NORTH   AMERICAN    PROVINCES. 


27 


0  COUll- 

1  which 
iS  than 
ul  pro- 
cm  oiu* 
•OS  j^eii- 
sir  phis- 

t'iinns. 
oviiices 
ly  what 

11  range 
illt  coii- 
ggcsted 
ehitions 
nst  that 
not  per- 
!onUl  we 
vean  our 
ountrios 
ng  upon 
ijKJU  the 
express 
connner- 
e  causes 
,  would 
stablish- 
md  the 
ly  h'vel 
redly  be 


)etvvcen 
tor  ])oth 

laterial 
nces  vsus- 
m  of  the 
ition,  in 
on(^  with 
ercially, 
an  e(puil 
ittivities 
y,  of  the 

tivities. 
c  ,  after 


the  plan  of  that  under  which  the  Gernuin  states  secured  free  trade 
among  themselves  aiul  identity  of  interest  in  their  commerce  with  the 
outside  world. 

A  majority  of  the  people  of  the  British  provinces  may  not  yet  be  pre- 
pared ill  feeling  (though  many  of  them  are)  for  an  arrangen)ent  which 
lu'obably  involves  the  di  >j«)inting  of  tiieir  jHtlitical  attachment  to  (ireat 
Britain,  and  the  assumption 'for  themselves  of  a  state  of  jjolitical  iiide- 
I)endence;  but  the  time  cannot  be  very  distant  when  the  persuasion 
of  their  interests  will  overpower  the  hardly  ex[)lainable  sentinu^nt  by 
which  it  is  opposed.  Perpetually  made  conscious,  of  late  years,  that 
the  parental  nation  to  which  they  have  loyally  clung  is  more  Than  ready 
to  dismi'^^  them  to  an  inde[»endent  career,  with  a  hearty  God-speed,  and 
that  they  are  far  more  endangered  than  i)rotected  by  their  anomalous 
Ciuinection  with  Great  Britain,  their  feeling  with  reference  to  that  con- 
nection has  confessedly'  undergone  a  great  ciiange.  At  the  present 
time  the  inhabitants  of  the  provinces  appear  to  be  in  ji  doubtful,  waver- 
ing, transition  state  of  opinion  and  sentiment,  with  regard  to  their  future 
policy  as  a  i)eople ;  much  affected,  on  the  one  hand,  by  dissatisfaction 
"with  their  relations  to  England,  and,  on  the  other  hand  t>y  a  mistaken 
belief  that  it  is  the  ambitious  i)oli(!y  and  fixed  purpose  of  their  Ameri- 
can neighbors  to  coerce  them  into  a  surrender  of  themselves  and  their 
territory  to  the  United  States.  That  it  is  alike  against  the  political 
convictions  and  against  the  manifest  interest  of  this  nation  to  covet  the 
forcible  absorption  into  its  body-politic  of  any  unwilling,  alien,  discon- 
tented conunnnity  of  people,  so  large  as  that  of  the  British  provinces, 
and  that  their  accession  to  it  is  only  desirable,  and  only  desired,  if  they 
come  by  free  choosing  of  their  own,  is  a  fact  whi<5h  they  will  probably 
discern  when  their  rellections  have  Ijecome  more  deliberate. 

There  does  exist  a  feeling  in  the  United  States  with  reference  to 
them  which  it  ought  ]U)t  to  be  difticult  for  the  peoi)le  of  the  provinces 
to  understand.  It  is  the  unwillingness  of  a  reasonable  Jealousy,  and  of 
a  Just,  prudential  selfishness,  to  extend  the  material  benefits  of  member- 
ship hi  the  American  Union,  witliout  its  responsibilities  and  reciprocal 
obligati(nis,  to  comnninities  with  Miiich  the  certain  relations  of  an  inde- 
pendent friendship  i-annot  be  cultivated  or  maintained;  which  are  con- 
trolled by  a  distant  foreign  imwer,  and  whi(.*h  are  at  all  times  liable  to 
be  placed  in  an  attitude  of  unfriendliness  or  hostility  to  this  country  by 
causes  outside  of  themselves,  ov  through  events  in  connection  with  which 
they  have  nothing  on  their  own  ])art  to  do.  lietween  two  eq:ndly 
indepen<lent  and  responsible  nationalities,  homogeneons  in  blood  and 
character,  and  with  every  interest  in  connnon,  situaied  as  the  United 
States  and  their  northern  neighbors  are  towar<l  each  other,  it  would  be 
as  ea'.<y  to  settle  the  relaticms  of  intimate  fellowship  upon  an  enduring 
basis,  as  it  is  made  (litlicult  to  do  so  in  the  case  of  these  provinces,  by 
reasons  of  their  dependent  status. 

The  circumstances  which  make  the  common  boundary  of  the  two 


T* 


lattB^^;..ii,M^:.^>.f.^.  .,.p^p 


^mSSfc^ 


28 


TRADE    WITH    imiTISH    NORTH    AMERICAN    PROVINCES. 


{.'oiuitries  an  actual  barrier  instead  olaii  iinajiinary  line,  are  under  tlieir 
control,  not  ours.  It  is  for  them  to  determine  wliicli  attects  tlieni  most 
importantly,  tlieir  political  association  Mith  Great  IJritain,  or  their  com- 
mercial and  industrial  association  in  interest  with  the  United  States, 
and  MJiich  shall  W  yielded  to  the  other,  since  the  two  are  umiucstionably 
in  contlict.     There  is  no  apparent  evasion  of  the  choice  that  they  must 

make. 

THE  TKAXSIT  TliADE. 

In  every  commercial  respect  the  dependence  of  the  provinces  of  the 
Dominion  of  Canada — especially  of  the  old  Canadian  provinces — upon 
the  United  States,  is  almost  absolute.  To  say  so  is  not  to  make  an  arro- 
gant boast,  l)ut  to  state  a  simple  fact,  llestricted  as  the  intercourse 
between  tlie  Canadas  and  this  country  unhappily  is  now,  they  derive 
from  it  almost  wholly  the  life  which  animates  their  industry  and  their 
enterpiise.  The  railroad  system  which  gives  them  a  circulation  of  en- 
ergies, and  by  which  their  resources  are  being  developed,  is  theofispring 
of  the  East  and  West  tratlic  of  the  United  States.  Its  trunk  lines  are 
supported,  and  were  made  possible  undertakings,  by  the  carrying  busi- 
ness that  they  command  from  point  to  point  of  the  American  frontier, 
across  intervening  Canadian  tcrrit<n'y.  American  commerce  instigated 
the  building  of  their  AVellanu  and  St.  Lawrence  Canals,  and  furnishes 
the  compensation  for  the  cost  of  both.  Americai:  commerce  is  the  insti- 
gator to,  and  the  guarantor  for,  every  similar  enterprise  that  is  now  con- 
templated in  the  provinces. 

These  are  not  exaggerated  representations.  They  are  borne  out  by 
the  returns  of  the  trailic  of  the  chief  Canadian  railways  and  canals. 

The  following  is  a  statrjnent,  in  tons,  of  the  property  transported 
through  the  Welland  Canal  in  I8G9,  showing  the  proportions  of  Ameri- 
can and  Canadian  commerce  employing  the  canal: 


From  Airn'ricnii  to  Airrricaii  purts tens.. 

From  Aiiiii  i<;iii  to  ("aniidiiiii  jioi'ts .tons. . 

From  Ciiiiiuliiiii  to  A  Micriiaii  jmits tons.. 

From  C'aiiiuliiin  to  Ciiiiadiaii  ports tons.. 


Up. 


Down. 


Total. 


277,005  I  411,035 

5,  843  210,  (08 

78.480  I  50,455 

10,000  I  178,751 


088,  700 
215,  851 
134,  935 
195.  417 


The  following  is  a  statement  of  the  freight  traffic  of  the  Great  West- 
ern Eailway  of  Canada,  f«n'  the  year  ending  July  .'il,  1870 : 


Cattle. 

Sheep. 

Hogs. 

Grain. 

Other 
freiglit. 

Reti'ipts. 

ForoifT"  traffir,  cast  wan!.. 
For«'i<;n  tratiic,  westward  . 

Head. 
33,  329 

Hmd. 

129,  784 



Tfead. 

99,  001 

Bushels. 

2,  .597,  042 



Tons. 
213,  739 

130,  L-25 

£       s.    d. 

203,  499  1 1     0 

99,002    9  10 

Total  lbnij;n  traffic. . . 
Local  traffic,  (both  wajs). . 

33,  :m)  1        129,  784 

99,  001       2,  597,  042           3.50,  504 

303.  I(i2    1     4 

37,  ia5 

77, 648 

20, 593       2,  330,  555  j        323,  585 

194,191  14    2 

I  have  been  unable  to  procure  a  statement  of  the  traffic  of  the  Grand 
Trunk  Eailway  of  Canada,  the  management  of  which  ai)pears  to  pursue  a 
policy  of  concealment  with  regard  to  its  business;  but  very  much  the 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PROVINCES. 


29 


Total. 

cm, 

700 

•215, 

fjl 

VM, 

<.KJ5 

lOo, 

417 

i;i.  u,-i    1    4 


1 


same  state  of  facts  Avoiild  niidonbtodly  be  shown  on  that  road  as  on  the 
Great  Western.  The  extent  to  Avliieh  the  (irrand  Trnnk  Kailway  shares 
in  the  tionr  and  ^rain  trade  of  the  United  States,  appears  in  the  foHow- 
ing  statement  of  the  qnantities  of  tliose  artiek^s  whicli  were  ship[)ed 
upon  it  from  its  two  western  frontier  termini,  Sarnia  and  Goderich,  in 
the  year  18(51) : 


Flour. 

Jinrreh. 
4;u,  HtO 
90,  U-2 

■Wheat. 

Joru. 

Otber  grain. 

Prom  Fnitpd  Stntos  to  Fnitcil  States,  iu  transit 

From  Fuitod  Statea  to  Canada 

liKxhels. 
i-J."),  !»()0 

l,(i!)-i,  i:'3 
670,  230 

BtixlcU. 
l«l,  (i4;i 
48,  B31 

The  foregoing  figures  supply  their  own  commentary  and  fnlly  sustain 
the  remark  with  which  they  were  introduced,  that  the  n)aiii  railways 
and  canals  of  Canada  owe  their  existence  and  their  supi)ort  to  the  com- 
merce of  the  United  States,  in  the  transportation  of  which  they  share. 

On  the  other  hand,  a  large  i)ortion  of  the  commerce  between  the  old 
Canadian  provinces  (Ontario  and  (j>uebec)  and  foreign  countries,  other 
than  our  own,  is  carried  on  through  the  United  States.  This  is  made 
necessary  by  the  winter  closing  of  the  St.  Lawrence,  and  by  the  fact  that 
no  railroad  connection  between  the  Canadian  interiiU"  and  the  seaports 
of  the  maritime  provinces  exists,  and  that  one  can  be  formed  only  by 
taking  so  wide,  costly,  and  inconvenient  a  circuit  that  its  commercial 
usefulness  wlien  realized  Avill  be  very  slight.  Acc(U'ding  to  the  "Trade 
and  Navigation"  tables  published  by  the  government  of  the  Dominion, 
the  foreign  goods  passing  through  the  United  States  under  bond  to  the 
Canadian  imi)orter,  in  the  fiscal  year  ended  June  30,  1800,  amounted  in 
value  to  $0,825,105.  This  is  exclusive  of  foreign  goods  purchased  in 
the  United  States  market,  in  bond,  to  the  value  of  $1,701,905. 

According  to  the  returns  compiled  in  the  Bureau  of  Statistics  at 
Washington,  the  foreign  commodities  carried  through  the  United  States 
to  Canada  in  the  ti.scal  year  ended  June  30^  180t),  amounted  to  the  vahie 
of  811,813,020,  (more  than  double  the  quantity  appeiiring  in  the  Canadian 
statistics,)  and  the  Canadian  commodities  shi[»ped  through  the  United 
States  to  countries  abroad  aggregated  $5,701,107.  In  the  fiscal  year 
ended  June  30,  1870,  the  goods  shipped  tlirough  the  United  States  to 
Canada  were  of  the  value  of  810,510,037,  and  from  Canada,  $0,032,003. 
The  greater  part  of  this  in  transitu  trade  is  to  and  from  Portland,  ^Nlaine, 
over  the  (Jrand  Trunk  Railway,  as  appears  in  the  following  statement 
of  it  for  1870,  made  by  districts : 


I 
Districts. 

lippojvod  tVom  1     Shijipi'd    to 
Canada.        i         Canada. 

Portland 

13,  273,  773            JIO,  708,  800 
3  4.">.'i  740                 2,  .'5012  614 

Vcrmrnit 

Dot  roit 

119,572  i                 111  270 

Port  Hurtm 

,59  017  1                     7  975 

N(!W  York 

12,  093                2,  861. 150 

7,  70  L                        7  701 

P.iHsaniaiinoflilv,  Maino 

Mihvauket! ' , 

2,409    .    

2,  388  1                 2f()  127 

15oston ,• 

Total 

0,932,693              16,519,037 

.    'iitewiiilii 


30 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PROVINCES. 


No  one  will  question  that  avo  find  convenience  and  advantage  in  the 
nse  of  Canadian  (;hannels  I'or  the  passage  of  our  commerce  between  the 
Eastern  and  AVestern  States,  nor  tliat  we  find  profit  in  acting  as  the 
carriers  of  so  large  a  part  of  the  comnievce  of  ('anachi  with  the  outside 
world.  ])Oth  these  arrangements  of  tra(h^  are  of  important  value  to  this 
country,  ami  its  interests  would  sutler  materially  from  any  suspension 
of  either;  but  the  difference  in  the  situation  of  the  two  countries  with 
reference  to  them  is  very  marked.  To  the  Canadian  provinces  their 
importance  is  nothing  less  than  vital,  since,  on  the  one  hand,  the  very 
sustenance  of  the  arterial  system  of  the  Canadas  is  derived  from  the 
American  commerc"  which  circulates  through  it;  wliile,  on  the  other 
hand,  their  own  commerc'e  witu  the  world  abroad  can  only  be  conducted- 
at  exceeding  disadvantage,  if  at  all,  for  five  months  of  the  year,  other- 
wise than  across  the  territory  of  the  United  States,  and  by  the  privilege 
of  the  customs  regulations  of  the  American  Government.  The  contem- 
plation of  such  a  state  of  facts  must  make  it  a  very  serious  question  to 
the  Canadian  people  whether  they  can  atford  to  let  their  relations  with 
the  United  States  remain  in  a  i)recarious  state,  subject  to  disturbance 
by  causes  that  are  totally  foreign  to  themselves. 

CANADIAN  AND  AMERICAN  TAIilFF  POLICIES. 

The  proposed  arrangement  of  a  commercial  union,  or  zollverein,  with 
no  tariff  between  the  States  and  the  independent  provinces  that  become 
parties  to  it,  and  a  common  tariff  for  all  outside  trade — dividing  the 
common  revenue  collected  from  customs  duties  upon  equitable  terms — is 
an  arrangement  which  would  place  the  provinces  in  the  utmost  security 
of  interested  relationship  with  this  country,  and  which,  beyond  all  ques- 
tion, would  yield  great  advantage  and  profit  to  both  people.  There  are 
obstacles  and  ai)parent  objections,  to  be  sure,  in  the  way  of  such  an 
arrangenuMit,  but  they  are  less  serious  in  the  reality  than  in  the  appear- 
ance. The  ol)jection  raised,  on  the  other  side,  upon  the  score  of  the  wide 
diflerence  that  has  existed  of  late  years  between  the  tariff  policy  of  the 
United  States  and  the  tariff  policy  of  the  Dominion,  is  an  objection  which 
a  few  years  more  seem  likely  to  remove,  in  any  event.  AVhile  the  tend- 
ency in  this  country  is  toward  a  moderation  of  the  extreme  protection 
duties  that  were  caused  by  the  necessities  of  the  war,  the  tendency  in 
Ci^nada,  with  reference  to  duties,  is  a  steadily  advancing  one.  Opinions 
fa^  orable  to  a  pronouiu'cd  policy  of  protection  are  manifestly  gaining 
verv  decided  strength  in  the  Dominion,  and  some,  at  least,  of  the 
promineit  public  men  now  in  office,  including  the  premier  of  one  of  the 
provinces,  are  aniong  their  advocates.  Within  the  last  year,  the  Con- 
gress of  the  United  States  reducied  and  abolished  duties  in  the  American 
tariff,  estimated  at  the  sum  of  $2G,()()0,000  per  annum,  while  the  parlia- 
ment of  the  Dominion,  at  its  corresponding  session,  made  considerable 
additions  to  the  Canadian  tariff.  Within  the  past  twelve  years  the 
average  rate  of  the  Canadian  tariff  has  at  least  doubled.    In  the  last 


TRADE    WITH    HRITISH    NORTH    AMERICAN    PROVINCP:S. 


31 


fiscal  yenr,  tlio  duties  ('olloctcd  in  the  Dominion  ainonntod  to  21  por  cent, 
on  the  dntiable  ('oniinoditi<'s  imported.  In  tlie  same  year,  it  is  trne,  tlie 
duties  eolleeted  in  the  United  States  averaged  4(5  i)er  cent,  on  the  duti- 
able conunodities  imported,  but  tlie  current  fiscal  year  will  ]»robably 
ghow  a  falling-  of  the  latter  rate  to  less  than  M)  per  cent,  and  an  advance 
in  the  former  rate  to  jterliaps  2,'}  or  24  jx-r  cent.  The  wicU'  ditference  by 
Avhich  the  two  countries  have  been  a])art  in  their  tarill  i)olicy  is  certainly 
destined  to  disai)pear  in  no  very  long  time,  whatever  their  relations  to 
each  other  may  be. 

CANADA  AS  A  "CHEAP  COUNTRY." 

It  was  renmrked  not  long-  since,  by  a  prominent  Canadian  gentleman, 
that  the  policy  of  the  Dominion  was  to  nmke  a  cheap  country.  Tliat 
])olicy  has  undoubtedly  been  successful  in  realizing  its  object;  but 
whether  "cheapness,"  as  an  ultimate  end,  is  a  wisely-chosen  object  of 
public  policy  may  be  questioned. 


•aining 
of  the 
i  of  the 
le  Con- 
inericau 
parlia- 
derable 
sars  the 
lie  last 


AYAGES  AND  THE  CO.ST   OF  LIVING. 

To  ascertain  how  labor  staiuls  affected  by  the  chea]>ness  that  prevails 
among-  our  northern  neighbors,  I  have  procuu-ed  a  representative  state- 
ment of  wages  and  of  the  prices  of  articles  that  enter  most  into  the 
cost  of  living,  taken  at  several  points  in  Ontario,  in  the  two  chief  towns 
of  Xew  Brunswick,  and  in  the  city  of  Quebec.  Tlie  mean  average  be- 
tween the  four  points  represented  in  Ontario  is,  I  think,  a  fair  one  for 
that  province,  which  is  by  far  the  uiost  active  and  prosperous  section  of 
the  Dominion;  that  between  the  two  towns  reported  from  in  New 
BrunsAvick  is,  uo  doubt,  something-  abov<^  the  gencMal  average  of  wages, 
and,  possiblj-,  ot  prices,  in  the  province.  How  nearly  the  summer  aver- 
age of  wages  in  the  city  of  (Quebec  represents  the  sa nu'  in  the  province 
of  Quebec  I  am  not  now  jible  to  saj',  though  it  is  certainly  indicative  of 
the  prevailing-  state  of  industry. 

These  figures  are  placed,  below,  in  comparison  Avith  similar  figures 
representing-  the  mean  average  of  wages  and  prices  in  the  States  of 
New  York  and  Maine,  the  latter  of  which  are  derived  from  the  elaborate 
tables  upon  the  subject  compiled  and  published  within  the  past  year  by 
the  Bureau  of  Statistics  at  Washington.  The  New  York  and  Elaine 
report  is  for  the  year  l.S(>9,  while  the  Canadian  statenu'ut  presents  the 
average  prices  of  labor  and  of  commodities  that  [U'evailed  during  the 
summer  of  1870;  but,  so  far  as  the  difference  in  time  affects  the  accuracy 
of  the  comparison,  it  is  rathei  to  the  advantage  of  the  Canadian  side, 
since  juices  in  the  United  States  have  declined  to  some  extent  during- 
the  year  past. 


32 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PROVINCES. 


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TRADE    WITH    BRITISH   NORTH   AMERICAN   PROVINCES.  33 

If  we  reduce  the  wa^os  paid  in  tl.e  Tlnitecl  Stat(^s  to  their  e.,ni  valent  in 
the  currency  with  which  (Canadian  workmen  were  paid,  l>y  cah-ulation  of 
the  <mrrent  prenmnn  on  gold  in  18(;o,  (whi<,li  uveraged  about  ;JL>  per  cent.,) 
we  8hal  find  that  wa,^e.s  ni  New  York  average  25  per  cent.  morl.  in  the 
gokl  value  than  .v.iges  m  Ontario,  and  80  per  cent,  n.ore  tlian  in  the 
city  of  Quebec,  and  that  the  gold  vahie  of  wages  in  Maine  in  tio  per  cent 
greater  than  m  New  Brunswick. 

But  the  faii-er  comparison  of  the  earnings  of  labor  in  the  two  coun- 
tries is  to  ascertain  the  purchasing  value  of  each,  or  their  ratio  in  each 
countiy  to  the  cost  of  living.  This  we  do  hi  the  table  subjoined,  which 
exhibits  the  prices  of  the  principal  articles  of  connnon  consumption, 
and  the  ordinary  rates  of  board  and  house  rent,  in  the  same  localities 
that  are  cited  in  the  toregoing  table,  and  for  the  same  periods  of  time  : 
8 


34 


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T!IA1)K    WITH    imiTIHII    NORTH    AMHRICAN    PROVIN(?ES. 


I 


Acconliii};  to  the  mciin  liitios  obtiiiiicd  tioin  tlic  forc^oin^'  tuldcs,  tlio 
>vii;;j('M  of  the  av<'iaj'«'  work. nan  in  Now  York  arc  <»'>  per  <'(Mit.  jjivater 
tlian  the  muw  wajxcs  in  Ontario,  whih^  the  coMt  of  his  lixiny;  is  but  oS 
]M'i(*('nt.  jfieator ;  h'avinj;  a  clear  excess  of  7  per  cent,  in  his  favor. 

The  waf^cs  of  the  avera;^*'  workman  in  Maine  are  IS  pw  cent,  ^-r^ater 
than  the  same  wa;;('s  in  N<'w  IJrnnswick,  and  the  cost  of  his  livin;^' isl)ut 
42  per  cent,  jfreater;  h'avin^"  a  clear  excess  of ."{(»  |mm-  cent,  in  his  favor. 

Between  New  York  and  the  city  of  (^nehec  the  ditt'erencc  is  ahnost 
incredible:  wajjes  V,iS  \\v\'  rvut.  hij;her  in  tlie  former,  and  tlMM^ost  of 
Ma  in^  but  4.'{  per  cent,  hijjher,  hjivinj;'  IKl  jx-r  cent,  clear  excess  of  earn- 
ings to  labor  in  New  York. 

It  may  he  doubted,  howev«'r,  whether  a  Just  ratio  of  prices  is  obtained 
by  calcniatinjjf  the  mean  rate  between  prices  in  so  miscellaneous  a  list. 
A  nunc  a(!cnrate  calculation  may  be  nnule  by  another  method.  Takinj^ 
on  each  si<le  e(|nal  quantities  of  the  various  articles  quoted,  in  an  esti- 
mate ui'  the  probable  consunqdion  of  an  ordinary  family,  1  arrive  at 
the  following?  results: 

That  which  costsj^KM)  in  jjfold  in  Ontario  cost  $U52  in  currency  in  New 
York,  or  JBUiU  72  in  M'<>hl;  whilci  for  every  $100  of  wa;;es  that  the  aver- 
Him'  workman  re<'eived  in  Ontario,  he  was  i)aid  -^105  in  currency  in  New 
I'ork,  or  $125  in  {j;old.  Excess  of  purchasin<;-  value  in  New  York  wages 
over  Ontario  wages,  2.28  i)er  cent.,  gold  nu^asurement. 

That  whi(;h  cost  $100  in  gold  in  New  Unniswick  cost  $141  in  currency 
in  Maine,  or  $100  82  in  gold ;  while  for  every  $100  of  Mages  that  the  aver- 
age workman  received  in  New  Brunswick,  he  received  $178  currency,  or 
$134  84  gold  in  Maine.  Excefii  of  pur<;hasing  valne  in  Maine  wages 
over  New  lirunswick  wages,  rj8  per  cent.,  gold  nu'asnremcnt. 

That  which  cost  $100  in  the  city  of  Quebe<!,  cost  $152  currency  in  the 
State  of  New  Y\)rk,  or  $115  15  in  gold;  while  for  every  $100  of  wages 
that  the  average  worknum  rei^eived  in  Quebec,  he  was  paid  $2.38  curren- 
cy, or  $180  geld,  in  New  Y'ork.  Excess  of  purchasing  value  in  New 
Y'ork  wages  over  wages  in  the  city  of  (Quebec,  04.85  per  cent.,  gold 
measurement. 

In  other  words,  by  the  same  labor  and  .  i^li  the  same  living,  the  av- 
erage workman  can  make  and  save  $2  i.S  ( ,old),  out  of  every  $100  of 
earnings,  more  in  New  York  than  in  Onts  rio :  $28  more  in  Maine  than 
in  New  Brunswick,  and  $04  85  more  in  New  I'^ork  than  in  the  city  of 
Quebec. 

It  is  certainly  plain  enough  that  labor  gains  nothing,  but  loses  very 
seriously,  from  the  state  of  cheapness  prevailing  in  the  Dominion. 


THE  SAVINGS  OF  INDUSTRY. 


The  state  of  a  country  with  reference  to  the  aceumulating  energy  of 
its  productive  industries,  and  the  general  prosperity  of  its  people,  is 
indicated  with  tolerable  certainty  now-a-days  by  its  savings  institutions. 
The  savings  on  deposit  throughout  the  Dominion  at  the  close  of  1869, 


TRADE    WITH    IlllITISIT    \OUTFr    AMKIilCAV    PROVIXCES.  37 

in  tliti  ]MHt  oHUm^  MjiviiijjK  bsiiiks,  iti  tnintofH'  snviiijfs  biiiiks,  in  rliait- 
oivd  biinUs,  iiud  in  tlii'  iiiinds  oriMiiidin;-  sdcit'tit's,  was  csriinatrd  by  tlm 
compilrrof  the  ''('aniuliiin  Y«'ar  Itoolv"  at  J!»1>,lOS,iri().  Attlu'  bcHimiin^' 
of  the  .same  year  tlie  deposits  in  tlie  savin<,'.s  banks  of  the  State  of  New 
York,  drawn  from  Mie  earnings  of  bnt  a  little  lar;4er  popnlation,  were 
retnrned  at  )!«i<!!>,SI).S,(i7,s,  (Mpii\  .dent  to  alumt  ><I27,(>0(I,0(»()  in  ;;(>ld,  or 
hnirteen  times  the  total  sum  i»f  savinf>;s  in  the  Dominion.  The  savin/^s 
deposited  in  Massaehusetts  at  tlie  sanu^  i>eriod,  by  a  p«'o|»le  nnnd>erin«^ 
about  one-third  the  population  of  the  Dominion,  were  )!i<!>.'i,(»(H),U00,  rcpiiva- 
lent  to  about  $71,(MK),()0U  in  ;;old ;  and  the  latest  pu!>lished  returns  fr<mi 
the  savinj-s  banks  in  all  the  New  En;;land  States  show  as  follows: 

MiisHatlinscttH $112,  llU.Olfi 

C'diiiKTticiif 47.!»(H,K54 

Tfliodti  IhIiiikI 27,  OCT,  072 

Aliiiuo 10,  4U(»,  IJfiH 

Ni-w  Ifiiiiijwliirc IH,  7.')!),  4(il 

Voniioiit 2.  o;57.!>:<4 

Total  New  Kngliiud 218,  :17H,  (isr> 


AC;c;iTMrLi\.TEI)  wkaltif. 


Statisti(5S  from  which  to  cahMdate  the  sietual  w^ealth  of  the  provinces 
are  not  at  present  attainable.  J'jven  the  assessed  valuation  of  real  and 
l>ersonal  property  fen-  puriK)ses  ol'  taxation  1  have  been  able  to  procure 
oihv  for  Ontario,  and  there  no  later  than  lH(i7.  The  com[»aris()n  of 
I>rv)[»erty,  as  assessed  in  Canada  and  the  United  States,  must  be  a  tol- 
erably just  one,  since  tlie  undervaluation  cannot  be  far  from  alike  in 
both  eases.  Ontario  is  by  far  the  wealthiest  of  all  the  provinces,  both 
actually  and  i)roi)ortionately,  and  its  otlicial  statement  of  the  assessed 
value  of  real  and  personal  property  for  three  years  is  as  follows : 


Years. 


]8(ir). 
iKtit!  . 
1867* 


Assessed  value 
of  real  ustaU-. 


;  Assessed  vilitc  I 
of  pei'sonal 
pioiieity. 


^3'->,  7H-J,01fi 
2:»)!<, -JO  1,  ().")- 
ai2,  88e,  iXt 


Total. 


H\  :t">7,  ftti!» 

2(i,  a!l5,  087 
23,  U(W,  077 


ijii.".",  i:ill,  HJ.5 
2(M.  VMi,  711 
236,  S.")l,  512 


*  Tho  fact  that  the  aBsossed  valuns  (tf  i)roperty  wi^ru  lowered  to  tlio  extent  of  $38,000,000  tho  year  fol- 
lowing tho  abrogatiou  of  the  reciprocity  treaty  is  cortaiuly  not  without  signiflcanco.  ■...;     'k 

In  Massa(;husetts,  with  notinon;  than  seventy  per  cent,  of  the  popula- 
tion of  Ontario  and  twenty  per  cent,  of  its  occupied  territory,  the 
assessed  valuation  of  real  and  personal  i)roperty  in  the  same  three 
years  was  as  follows  : 


Assessed   valne     ^^^,.^,„.,,   ,.„i„„ 


of       personal 
projMrty. 


of  real  estate. 


Total. 


1865. 
1866. 
1867. 


■'i-.P- 


Wf(i,  079, 955 
■m\,  •il'i,  298 
437,  728, 296 


^0."),  7 til,  916 
ti.">l,Ot:t,  703 
708, 1()5, 117 


J99I,841,<«>1 
l,08I,:Uti,  (Mil 
1,  105,  893,  413 


tSB-PsmOaim:.  i.4i».*«ii,iife«,j-4afa^. 


38 


TRADE   WITH    BRITISH   NORTH   AMERICAN   PROVINCES. 


!i 


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fii 


These  of  course  are  valuations  in  a  depreciated  currency.  In  18G7  the 
average  premium  on  gold  was  thirty-nine  per  cent.  Eeduced  by  that,  the 
assessed  valuation  of  property  iu  Massachusetts  was  $8.38,772,239  in 
gold,  or  about  $055  i)er  capita,  against  $236,851,512,  or  about  $131  per 
capita  in  Ontario. 

In  Ohio  the  assest;ed  valuation  of  real  and  personal  property,  in  1808, 
was  $1,143,401,380,  or  $810,758,132  in  gold,  equivalent  to  ab(uit  $325 
per  capita.  Taking  the  Northern  States  of  the  Union  together,  they  un- 
doubtedly exhibit  on  the  average  more  than  double  the  value  of  prop- 
erty per  capita  tliat  is  shown  in  Ontario,  where  the  proportionate  value 
of  property  must  largely  exceed  that  iu  (Quebec  or  iu  the  maritime 
provinces. 

BANKING  CAPITAL  AND   CIRCULATION. 

The  capital  employed  in  banking  amounts  to  but  $32,753,242  in 
the  entire  Dominion,  of  A.hich  $30,303,842  is  iu  Ontario  and  Quebec, 
$2,000,400  in  Nova  Scotia,  and  $320,400  in  New  Brunswick.  An  active, 
vigorous,  and  enterprising  state  of  business  in  so  large  a  conuuunity  of 
people  is  clearly  impossible  with  that  limited  sum  of  cajutal  in  banking — 
a  sum  e(pial  to  but  about  $8  per  capita.  In  the  nineteeri  States  north 
of  the  Potomac  and  the  Ohio  and  east  of  the  Missouri,  with  a  ])opula- 
tion  of  about  20,000,000  people,  there  is  a  capital  of  $418,000,000  in 
national  banks  alone,  or  $10  per  capita,  besides  the  capital  of  banks 
still  doing  busMiess  under  State  charters,  which  amounts  to  $15,000,000 
intheo:ie  State  of  New  York.  In  the  New  England  States  the  national 
bank  capital  is  $37  per  capita,  and  in  New  York  the  total  capital  in 
chartered  banking  is  $28  p*^r  head. 

The  currency  in  circulation,  banknotes,  and  Drminion  treasury  notes, 
has  rapidly  swelled  within  the  past  year,  from  $15,082,105  on  the  1st  of 
Januajy,  1870,  in  Ontario  and  (j)uebec,  to  $25,514,100  in  the  same  i)rov- 
iiires  on  thi^  1st  of  October  last.  At  the  lirst-named  sum — less  than  $5 
per  capita — the  money  in  use  (making  full  allowance  for  gold  and  silver 
iu  circulation)  was  as  nuu;h  too  restricted  for  an  energetic  state  of  busi- 
ness as  the  intlated  volume  of  currency  in  the  United  States  is  too 
stimulating.  Tlie  process  of  inflation  that  has  commenced  so  rapidly  in 
the  Dominion,  howe^er,  bids  fair  iu  the  end  to  more  than  remove  all 
conti'ast  in  that  particular. 

PUBLIC  DEBT. 

On  the  30th  of  April,  1870,  according  to  a  statenu'ut  from  the  auditor 
general,  the  public  debt  of  the  Dominion,  deducting  cash  and  banking 
accounts,  Mas  $90,584,807.  Apparently,  however,  this  statement  did 
not  include  the  outstanding  Dominion  treasury  notes  in  circulation, 
.of  which  $7,450,.');?4  had  been  issued  in  October  last.  Relatively  to 
liojmlation,  this  drht  of  the  Dominion,  amounting  to  about  $20  per 
cai)ita,  appears  trilling-  iu  comparison  with  the  debt  of  the  United  States; 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PROVINCES.  39 


auditor 
jiiuUing 
cut  did 
ulatioJi, 
ively  to 
$L'()  per 
Htates ; 


but  relatively  to  the  wealth  of  tlie  two  countries,  their  resources,  and 
energies,  it  may  be  questioned,  from  the  indications  heretofore  ftiven, 
whether  the  disparity  of  the  burden  of  debt  is  so  great  jis  many  in  the 
provinces  imagine.  Whatever  the  disparity  may  be,  it  will  certainly 
disappear  in  the  accomplishment  of  the  policy  of  ex^nniditure  which  the 
^  /.  government  of  the  Dominion  has  laid  out,  with  reference  to  political 

necessities  that  grow  wlioUy  out  of  an  anomalous  situation — such,  for 
example,  as  the  building  of  the  Intercolonial  Railway  and  the  projecled 
railway  across  the  continent  to  British  ('Olumbia,  parallel  with  the  line 
of  the  Americau  Xorthcn-n  Pacific,  to  neither  of  which  undertakings 
does  the  commerce  of  the  continent  otter  any  encouragement. 

BrMIGEATION  AND  EMiailATION. 

If  no  other  facts  existed  to  show  that  the  conditions  of  life  in  the  Do- 
minion of  Canada,  with  its  cheapness  and  its  lighter  taxes,  as  compared 
with  the  United  States,  are  not  conditions  to  be  intelligently  i)referred 
by  those  who  are  free  to  choose,  the  facts  of  immigration  and  emigrarioii 
show  it  stril'"' igly. 

Out  of  74,;iG5  foreign  immigrants  to  the  New  World,  who  landed  at 
Canadian  ports  in  1809,  only  18,300  paused  to  seek  homes  in  the  Douiin- 
ion,  and  57,202  passed  on  to  onr  Western  States.  In  1808  the  number 
reported  as  makingasettienuMitin  th'^  Dominion  was  but  12,705,  against 
58,083  going  through  to  tlie  Unite<l  States.  For  the  year  just  closed, 
the  statistics  of  immigration  into  the  Dominion  at  large  are  not  yet  at- 
tainable. Within  a  few  days,  however,  the  Ontario  Commissioner  of 
Agriculture,  who  has  charge  of  immigration,  has  published  his  report, 
from  which  it  appears  that  the  measures  adopted  in  tliat  province  to 
attract  settlers  from  Great  Britain,  and  to  assist  their  removal,  have 
largely  incr;'ased  the  arrivals  in  Ontario  during  the  past  twelve  months. 
The  commissioner  reports  the  number  for  the  year  ending  December  .'U, 
1870,  at  25,200.  Althougli  to  a  great  extent  this  does  not  rei)resent  a 
natural  movement  of  immigration,  but  is  the  result  of  systematic  ettbrts 
that  are  being  made  in  England  by  various  societies  to  deport  some  of 
the  more  sutt'ering  classes  of  the  poor  poi)nlation  of  that  country,  still, 
so  far  as  concerns  Ontario,  it  produces  a  consideraide  change  in  theta(*ts 
heretofore  existing.  But  if  Ontario  is  making  some  gain  of  i>opulation 
from  foreign  immigration,  tliat  ]»rovin('e,  in  this  as  in  most  matters,  is  a 
favored  exception.  Without  much  reasonable  doubt  the  other  provinces, 
and  especially  (Quebec,  are  steadily  losing  nunc  by  emigration  to  the 
United  States  than  they  gain  by  immigration  from  abroad. 
-  I  am  indebted  to  Mr.  Young,  ('hief  of  the  Bureau  of  Statistics,  for  the 
following  shitement,  comi)il('d  from  returns  made  of  immigrants  arriving 
in  the  United  States  from  the  Briti.sh  ?sr(nth  Ameiican  possessions  for 
eleven  years  past :    -     ,  -  -■     -    ,:,...,,,.. 


40 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PROVINCES. 


Years. 

Number. 

1 

Years. 

Number. 

IPGO        

4,  51  i 
'-,  00!) 
;j,  -^75 
;j,  404 
;»,  o;«i 

2I,5HG 
■S-l  150 

'  IPC? 

6,  OH 

10,  8!)l 

18(il       

1 808 

l.-fK     

IHO'.t 

;}0,  921 
40,  411 

1803     

1870 

18(i4 

1            Total 

]8()5 

158. 934 

leec 

i 

m 


Biit  those  are  more  thiin  doubtful  st.atistics;  nor  does  it  .appear  pos- 
sible to  se(!ure  auy  trustworthy  euuniei  atiou  of  the  persons  who  come 
into  the  TJnitcd  States  from  tlie  British  provinces  with  intent  to  make 
this  country  their  home.  Tiio  figures  giveu  above  are  obtained,  1  be- 
lieve, from  returns  made  by  the  officers  of  customs,  in  connection  with 
the  entering- of  household  goods,  which  are  admitted  free  as  "settlers' 
effects."  If  exact  to  that  extent,  they  wouhl  only  represent  the  class  of 
immigrants  who  come  witli  families  and  household  effects,  wholly  omit- 
ting the  perhaps  larger  class  of  young  men  from  the  ])rovinces  who 
seek  their  fortunes  in  the  United  States,  and  Avho,  as  they  cross  the 
frontier,  are  in.  no  way  to  be  distinguished  from  ordinary  travelers. 
But  even  for  what  they  purp*  .t  to  exhibit,  I  fear  that  our  statistics  of 
provincial  emigration  are  not  to  be  trusted.  I  have  reason  to  know 
that  some  of  the  returns  of  immigratiou  from  froutier  crossiug  jioints 
are  almost  entirely,  if  not  wholly,  founded  upon  careless  guessing  on 
the  part  of  railway  agents  and  clerks,  as  to  the  number  of  persons  likely 
to  have  aiuiompanied  a  giveu  quantity  of  "  settlers'  ettects."  Perhaps 
these  are  exceptional  cases,  but  more  probably  not,  since  there  is  noth- 
ing to  compel  the  taking  of  the  trouble  which  accurac,y  would  require. 
It  is  possible,  too,  that  the  aggregate  result  of  such  estimating  may  be 
not  far  from  the  true  fact,  but  that  is  a  matter  of  no  certainty. 

As  for  the  large  class  of  immigrants  of  whom  no  account  can  possil% 
be  taken  niien  they  cross  the  frontier,  Mr.  Young,  who  has  been  gath- 
ering information  on  thc3  subject,  thiakts  they  may  be  safely  estimated 
at  10,000  for  the  ])ast  year. 

All  definite  statements,  however,  with  regard  to  this  emigration  from 
the  provinces  must  be  made  and  received  with  considerable  doubt.  It 
can  only  be  said  with  certainty  (and  that  no  one  at  all  acquainted  with 
the  facts  will  disj)ute)  that  the  annual  movement  from  the  Oanadas  and 
from  the  maritime  provinces  to  the  United  States  is  very  large.  The 
Dominion  suifers  in  no  respect  more  seriously  than  in  the  loss  of  the  en- 
terprising young  num  who  are  being  constantly  enticcHl  away  from  it  to 
seek  wider  opportunities  in  the  United  States  than  their  own  country 
affords;  some  of  them  to  return  after  a  time,  but  the  greater  part  to 
establish  permanent  ties  and  make  permanent  homes  in  "  the  States." 
Such  ar(^  to  be  found  everywhere  in  the  Union,  and  no  adopted  element 
in  the  American  population  contributes  more  to  its  stock  of  energy  or 
is  of  greater  value.  During  the  late  war  many  thousands  of  Canadian 
young  men  volunteered  iu  the  Union  armv  and  shared  our  national 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PROVINCES.  41 


gatll- 


t 


strng^lo  with  us,  the  larger  proportion  of  the  survivors  of  whom  are 
probably  citizens  to-tlay  under  the  government  for  which  they  fought. 
From  the  province  of  (Quebec,  where  the  circumstances  of  the  general 
population  are  growing  less  prosperous  rather  than  improving,  emigra- 
tion across  the  line  into  New  Eiighinil  and  elsewhere  has  assumed  such 
proportions  within  the  past  two  or  three  years  as  to  become  a  very 
serious  subject  of  discussion  in  the  journals  of  the  province.  It  is 
exceedingly  ujifortunate  that  we  have  no  trustworthy  data  from  which 
to  calculate  its  extent.  There  are  two  migratory  movements  from 
Quebec,  one  periodical  and  temporary,  the  other  permar.ent.  Large 
numbers  of  the  French  Canadian  laborers  and  small  farmers  leave  their 
homes  on  the  ai)proach  of  winter,  cross  to  the  United  States,  lind  winter 
employment  here,  son^e  even  in  the  Southern  States,  and  return  to  their 
homes  again  in  the  spri;ig.  How^  this  number  compares  with  those  who 
I)ermanently  remove  themselves  to  the  United  States  it  is  impossible  to 
say.  That  the  latter  have  greatly  multiplied  during  late  years  we 
know,  from  the  importance  which  the  French  Canadian  element  is 
assuming  among  the  operatives  in  the  New  England  lactories,  and  from 
what  is  acknowledged  by  observers  in  Quebec.  Intelligent  French 
Canadian  gentlemen  in  that  pro\ince  estimate  that  there  are  already 
more  of  their  race  in  the  United  States  than  at  home.  Said  one  of  the 
daily  newspapers  of  Montreal  in  October  last:  "Statistics  tell  us,  and 
any  one  who  has  traveled  in  the  United  States  will  confirm  the  fact, 
that  we  annually  sutler  a  heavier  loss  through  native  persons  leaving 
the  country  than  the  total  figure  of  the  immigration  returns.  There 
are,  at  a  low  computation,  half  a  million  native-born  Canadians  now 
domiciled  in  the  United  States.  They  are  established  in  the  republic, 
not  because  they  prefer  that  form  of  government,  but  because  the  s[>irit 
of  enterprise  seemed  to  have  died  out  on  this  soil,  and  there  was  no 
field  o])ened  to  skilled  industry.-'  The  same  newspaper,  in  an  article  a 
few  weeks  ])revious,  had  stated  the  fact  that  "  our  farmers  realize  very 
little  Mioie  for  their  hay  and  oats  than  they  did  thirty  years  since,  and 
the  -i'-quences  are  that  farm  lands  are  deelinimj  in  value  in  the  pro- 

vi:H:,  '!( '  returns,  minus  tin-  labor,  are  smaller;  the  margin  of  profit 
remain;  •  to  the  farmer  at  tin  end  of  the  year,  jifter  ])aying  and  feeding 
his  men,  is  less.''  It  was  said  in  a  public  address  by  one  of  the  pronu- 
uent  public  men  of  the  province  of  Quebec  a  little  more  than  a  year  ago  : 
"  The  emigration  of  comm  )n  laborers  to  the  States  is  something  actually 
alarming;  and  it  could  not  be  otherwise,  for  our  water-powers  are 
neglected,  our  mim!S  are  closed,  and  we  have  no  means  of  furnishing 
employment  to  our  people."  Within  a  few  weeks  past,  to  cite  one  more, 
an Jiority,  the  leading  newspa|)er  of  the  city  of  Quebec,  the  Daily 
O.L  picle,  made  the  folUvwing  statement,  which  has  a  two-fohl  signifi- 
cance: "  Unfortunately  it  is  a  truism,  and  requires  no  demonstration, 
that  ship-building,  forujerly  the  main  industry  of  Quebec,  nas  alnioNt 
ceascd  to  exist,  and  that  conse(j[ueutly  our  laboring  population,  the  very 


42 


TRADE   WITH   BRITISH   NORTH   AMERICAN   PROVINCES. 


bone  and  sinew  of  the  body  politic,  were  eommencinff  ^  seek  in  the 
adjoining"  reimblic  that  employment  which  was  no  longer  to  be  fonnd 
here.  Too  manj',  indeed,  already,  we  fear,  h-ve  removed  permanently 
from  our  province." 

General  evidence  of  the  magnitude  of  the  emigration  that  goes  on 
from  the  Dominion  to  the  United  States  is  abundant,  though  the  statistics 
to  represent  it  in  defined  nund)ers,  with  toierable  exactness,  are  lacking. 
What  is  true  of  (Quebec  is  undoubtedly  true  to  not  much  less  extent  of 
Nova  Scotia  and  New  Brunswick,  and  if  Ontario  does  not  lose  popula- 
tion in  equal  numbers  it  loses  very  considerably  from  a  class  whose 
young  blood  is  the  life  force  of  a  countrj*.  Against  these  losses  there  is 
no  equal  ott'set  or  exchange.  Emigration  from  the  United  States  to  the 
provinces  is  limited,  though  valuable  to  the  huicr,  because  chiefly  cou- 
fine<l  to  men  who  go  there  witli  a  definite  enterprise  in  view,  and  gen- 
erally with  capital,  to  engage  in  lumbering,  or  mining,  or  salt  making, 
or  oil  producing,  or  general  speculation  and  trade.  Under  different  con- 
ditions, the  number  of  these  would  unquestionably  be  multiplied  to  a 
very  great  extent. 

PAKTIAL  PKOSPEi       i"  IN  THE  DOMINION. 

I  hope  I  shall  not  be  accused  of  having  labored  to  make  a  representa- 
tion of  circumstances  unfavorable  to  our  northern  neighbors.  I  give  the 
facts  as  I  have  found  them,  in  seeking,  without  preconceived  notions,  to 
ascertain  the  relative  situation  of  afiairs  in  the  two  countries,  which  be- 
came, as  I  have  viewed  it,  a  necessary  part  of  the  subject  S'lbmitted  to 
ine  for  investigation.  I  group  these  facts  here  to  show,  as  I  think  they 
do  show,  that  if  that  which  a])pears  to  be  the  only  practicable  arrange- 
ment under  which  a  natural  state  of  trade  between  the  United  States 
and  tlie  British  provinces  can  be  established,  involves  a  change  in  the 
conditions  that  prevail  within  the  latter,  assimilating  them  to  the  con- 
ditions existing  in  the  United  States,  the  change  cannot  be  one  to  the 
detriment  of  the  perple  of  the  provinces,  and  cannot  form  a  forbidding 
obstacle  to  the  arrangement. 

I  know  and  I  do  not  contradict  the  claim  to  ])rosperity  that  h' 
asserted  in  considerable  portions  of  the  Dominion.  Prosi)erity,  upon  tlie 
nioderati  scale  to  which  everything  is  adjusted  in  the  provin(.'es,  does 
exist  throughout  most  of  Ontario,  in  the  city  of  Montreal,  and  in  several 
snmll  inanulactuiing  towns  that  have  grown  up  in  the  lower  provinces; 
a  degree  of  prosperity  quite  in  contrast  with  the  aspect  of  affairs,  gen- 
erally speaking,  in  Quebec,  and  for  tlM^  most  part  prevailing  in  the  mari- 
time provinces.  The  i)eople  of  Ontario  are  very  comfortable;  many  of 
the  towns  show  more  life  than  they  formerly  did,  are  adding  to  their 
industries,  and  are  slowly  growing.  One  branch  of  manufactuv »,  the 
woolen  manufacture,  has  obtained  quite  a  root,  and  has  risen  to  consi»l- 
erable  inagnitude  within  a  few  years  ))ast;  so  nnu'h  so  as  to  diminish 
the  importation  of  woolens  nearly  a  million  of  dollars  in  18G1)  from  the 


TRADE   WITH   BRITISH   NORTH   AMERICAN   PROVINCES. 


43 


n  the 
found 
ueiitly 

OPS  on 
tistics 
ckiug. 
tent  of 
(opula- 
whose 
liert^.  is 
\  to  tlie 
iy  cou- 
ld goii- 
laking, 
'lit  foil- 
ed to  a 


•esenta- 
>ive  the 
ions,  to 
licli  he- 
ittod  to 
Ilk  they 
■range- 
States 
in  the 
h(5  con- 
to  the 
ridding- 

that  i.* 
)on  tlie 
OS,  does, 
several 
)vinces; 
rs,  gen- 
ie mari- 
nany  of 
to  their 
111  »,  the 
consiu- 
Uiiiinish 
10  m  the 


importation  of  1808.    In  railway  enterprise  there  is  a  noticealile  stir  of 
Ufe,  stiinuh'ited  in  great  part  by  the  American  transit  trade,  though 
.  partly  directed  toward  the  development  of  the  "back  settlements"  of 
Ontario. 

COiOIEROlAL  ftllOWTII  OF  MONTREAL. 

I>ut  nowdiere  and  in  nothing  else  is  the  display  of  really  energetic 
forces  equal  to  that  at  Montreal.  The  city  of  ^Montreal  has  certainly 
made  an  astonishing  advance  in  commercial  importance  within  the  last 
few  years.  The  conspicuous  feature,  and,  perhaps,  the  conspicucus 
cause  connected  with  its  commercial  rise,  has  been  the  establishment 
and  remarkable  success  of  the  splendid  line  of  ocean  steamers  which 
a  single  Canadian  firm  has  placed  atloat,  connecting  Montreal  with 
both  Liverpool  and  Glasgow  by  regular  direct  lines.  Commencing 
in  1850  with  four  steamers  and  a  caj)acity  of  G^t'S^t  tons,  this  great 
fleet  of  the  Messrs.  Allan  &  Co.  now  numbers  eighteen  steam  ves- 
sels, among  the  finest  on  the  seas,  with  a  total  capacity  exceeding 
42,000  tons.  The  rise  of  this  flourishing  Canadian  mercantile  steam 
navy  is  .i  more  notable  fact  by  reason  of  its  contrast  with  the  decline  of 
the  ocean  steani  shipping  of  the  United  States. 

DIVERSION   OF  AMERICAN   GRAIN  TRADE. 

Perhaps  it  is  owing  chiefly  to  the  organization  of  operations  in  com- 
merce incident  to  the  effect  of  the  estaldishmeiit  of  such  lines  of  for- 
eign connection,  that  Montreal  began,  two  years  ago,  to  accomplish  a 
powerful  diversion  of  the  movement  of  our  Western  cereals  away  from 
New  York.  The  very  extensive  sudden  transition,  iiarticularly  in  the 
movement  of  wheat,  whi(;h  occurred  in  1860,  claims  serious  attention. 

It  api)ears  in  the  following  statement  of  Hour  and  grain  passing 
through  the  Welland  Canal,  from  Lake  Erie  to  Lake  Ontario,  the  quan- 
tity stated  as  going  "to  Canada"  being  almost  wholly  destined  for 
IMontreal : 

(iuantities  ofjhtir  aiid  grain  immny  into  Canada  from  the  United  Slatei^ ;  also  quantities  in 
transit  to  ports  in  the  United  States  during  four  years  past. 


FLOUll. 

WHEAT. 

INDIAN  COUN. 

OTlir.U  GKAIN. 

Year. 

i 

e  t 

.■S'/2 

s 
H 

-  a: 
t.  — 

5 

=  J 

Bunhfh. 

4,  2,50,  232 
.5,  44H,  144 

5,  OHO,  00(i 
7,  024,  835 

a 

03 

O 

o 
H 

=  2 

1866 

1867 

1868 

:»869 

Barrelg, 

8, 1(12 

4.  401 

03,  54(i 

lO."),  SKilJ 

Barrels. 

8(i(!,  314 
l,in3,  ()^^i 
1,4.V).  047 
1,300,054 

Biuilmh. 
14,063 
23,  804 

87,  223 
5,  458,  Oi.2 

Bu-fitielfi. 
5,032,071 
5.148,714 
7,  151,612 
7,  !)00,  233 

BuHlieU. 
488,  401 
205,  726 
526,  731 

1, 180,  947 

Bunhels. 

20,  168 
3.  128 

iH,  -m 

65,  835 

Bufhclx. 
2(1,  425 
223, 710 
8(1,5,  020 

1,248,470 

The  statement  for  the  last  season  I  liave  not  yet  been  able  to  procure, 
but  there  is  reason  to  believe  that  the  proportion  taken  t'>  Montreal, 


BH 


44 


TRADE   WITH    BRITISH    NORTH    AMERICAN    PROVINCES. 


\  \ 


compared  witli  that  passing"  to  Oswoso,  Ogdensburg',  and  Capo  Yinrent, 
for  shipmont  by  canal  and  rail  tc;  Xew  York  and  Boston,  has  increased 
rather  than  diminished. 

]5ut,  noticeable  as  the  comniercial  progress  made  by  IMontreal  dnring 
a  few  years  ]>ast  may  appear,  it  obvionsly  has  not  placed  her,  and  ftivea 
no  promise  of  i)hicinj?  her,  at  the  height  of  importance  which  initurally 
belongs  to  the  chief  port  of  the  great  St.  Lawri^nce  ontlet.  For  Montreal 
occiii)ies  a  position  where,  nnd(^r  conditions  of  eqnal  rivalry  with  Kew 
York,  Philadelphia,  Boston,  and  Baltimore,  there  would  un(iuestionably 
have  risen,  to-day,  a  great  metropolis  of  not  less  than  half  a  niilliini 
souls,  instead  of  a  thriving  city  of  one  hundred  and  forty  or  fifty  thou- 
sand people. 

FAVORING  CIRCUMSTANCES. 

The  nio<lerate  degree  of  prosperity  that  exists  in  the  most  favored 
section  of  the  Dominion  affords  evidence,  not  to  be  disputed,  in  proof 
that  the  Canadian  people  suffered  less  from  the  abrogation  of  the 
reciprocity  treaty  in  180G  than  they  ai)prehended  or  than  others  ex- 
pected. The  expiration  of  the  treaty  happened  at  a  most  fortunate 
time  for  them,  wluin  several  circumstances  combined  to  break  the  effect 
of  the  suspension  of  free  trade.  The  state  of  business  in  this  country 
was  just  beginning  to  settle  into  composure  alter  the  upheaval  and  dis- 
turbance of  the  civil  war.  ,  During  the  war,  and  for  some  tinu^  after  it, 
the  exaggerated  and  incalculably-  tiuctuating  premium  placed  upon  gold 
by  the  nuul  gambling  that  was  rife,  deprived  our  currency  to  some  ex- 
tent of  its  due  i)urchasing  power  in  the  Canadian  market,  and  intro- 
duced so  much  daily  and  hourly  uncertainty  of  exchangeable  values 
between  American  and  Canadian  money,  that  transactions  in  the 
Canadian  markets  by  American  purchasers  were  made  diffu;ult  and 
hazardous.  This  had  interfered  seriously  with  the  selling  of  Canadian 
products  to  the  United  States  during  the  last  half  of  the  free  trade  period, 
and  when,  otherwise,  the  marketing  of  those  ])roducts  in  the  United 
States  would  have  been  enormously  stimulated.  At  times  it  had  no 
doubt  formed  more  of  an  obstruction  to  trade  from  the  provinces  than 
the  duties  since  imposed  have  formed. .  But  the  one  obstruction,  of  a  Huc- 
tuating  and  uncertain  purchasing  nu'dium,  was  disa])i)earing,  when  the 
other  obstruction,  of  revived  customs  duties,  arose,  and  it  is  clear 
enough  that  the  immediate  commercial  effects  of  the  latter  occurrence 
were  very  considerably  neutralized  by  the  IVirmer;  so  that  the  people  ot 
the  provinces  did  not  feel  the  sudden  loss  of  free  trade  with  the  United 
States  as  they  otherwise  Avould  have  done.  Moreover,  the  Southern 
States  began  about  the  same  tinu'  to  become  purchasers  again  of  lumber, 
fish,  &c.,  from  the  provinces,  which,  for  five  years  before,  had  had  that 
part  of  their  .'miiciin  trade  entirely  cut  off'.  These  circumstances 
account,  I  think,  for  the  otherwise  singular  ai)i)earance  of  the  fact  that 
our  importations  from  the  i)rovinces  have  rather  increase<l,  on  the 
average,  tJiau  declined  since  the  termination  of  the  reciprocity  treaty. 


TRADE    WITH    BRITISH    NORTH   AMERICAN    PROVINCES.  45 


I 


LUMBER  AND  BARLEY. 

Refoning'  to  tlio  coinpaiative  table  liorotoforo  ftivcii,  which  sliows  the 
extent  of  our  animal  importation  of  several  of  tlu^  chief  staples  of  Cana- 
dian production,  we  find  tliat  the  two  articles  of  lumber  and  barley  to- 
gether formed  one-third  of  the  entire  purchases  of  the  United  States 
from  the  Dominion  in  18C1>,  an<^  that  these  two  articles,  more  than  any 
others,  luuv*  exhibited  a  total  il  .ilference  to  the  terms  upon  which  they 
are  admitted  to  the  United  Stiites.  In  both  cases  the  undoubted  fact 
is,  that  this  country  has  need  of  the  foreij^n  supply.  The  sources  of  our 
own  lumber  supply  are  rapidly  receding' from  the  great  markets  in  which 
it  is  consumed,  and  are  rapidly  being  exhausted.  Every  year  is  nmking 
it  more  a  necessity  that  the  Eastern  and  Middle  States  should  buy  lum- 
ber and  timber  from  the  provinces.  Under  such  circumstances,  and  in 
view  of  the  fact  that  this  country  would  seem  to  have  more  interest  in 
the  conservation  of  its  fast-disappearing  forests  than  in  the  encourage- 
ment of  their  consumi)tion,  it  may  be  well  to  consider,  without  reference 
to  the  general  (question  of  reciprocal  policy,  whether  it  is  not  due  to 
American  consumers  that  the  present  high  duty  of  20  percent,  on  Cana- 
dian lumber  should  be  nnxlitied,  taking  another  step  in  the  direction 
which  was  taken  at  the  last  session  of  Congress,  when  the  duties  on 
saw -logs  and  ship-timber  were  removed.  Much  the  same  considerations 
apply  to  the  article  of  barlej-,  for  which  the  consumers  in  this  country 
are,  to  a  considerable  extent,  dependent  upon  a  countr\  whose  climate 
and  soil  are  better  adapted  than  most  of  our  own  territory  to  its  pro- 
duction.   . 

TRADE  WITPI  THE  NON-CONFEDERATED  TROVINCES. 

With  this  imperfect  discussion  of  them,  I  submit  the  main  facts  which 
I  have  collected.  Within  the  time  allotted  to  my  inquiry  I  have  been 
unable  to  extend  it,  except  very  superficially,  bej'ond  the  provinces  em- 
braced in  the  Dominion  of  Canada. 

Our  trade  with  the  three  provinces  of  Newfoundland,  Prince  Edward's 
Island,  and  British  Columbia,  which  remain  outside  the  confederation 
of  the  Dominion,  (although  Jiritish  Columbia  seems  to  be  at  the  i>oint 
of  becoming  joined  with  it,)  is  represented  for  the  last  two  years  in  the 
reports  of  Commerce  and  Navigation,  compiled  in  the  United  States 
Bureau  of  Statistics,  as  follows : 


Imports 

Domestic  exports. 
Foreign  reexports 


1869. 


«1,  737,  304 

2,  703, 173 

44G.  U04 


1870. 


81,  5p1,  0.53 

3,  304,  tiOS 

347,300 


Relatively  to  its  extent,  this  trade  api)ears  much  more  favorable  to 
the  United  States  than  our  trade  with  the  Dominion,  and  relatively  to 
their  population  and  commerce  the  non-confederated  provinces  are  far 


46 


TRADE   WITH    BRITISH   NORTH    AMERICAN   PROVINCES. 


the  better  customers  of  this  country.  The  subject  of  our  relations  with 
them,  moreover,  is  made  the  more  interesting'  and  important  by  reason 
of  tlie  unwillinjifness  that  tlieir  people  manifest  to  attacli  tliemselves  to 
the  British  colonial  confederation,  and  it  claims  an  examination  which 
I  regret  that  I  have  not  been  able  to  give  to  it. 

In  the  United  States  oflicial  statistics  of  late  years,  only  a  distinction  be- 
tween the  "Dominion  of  Canada"  and  "all  other  British  possessions  in 
Korth  ximerica"  is  made,  so  that  our  trade  transactions  with  the  several 
provinces  cannot  be  discrinunated.  Attempting  to  procure  returns  from 
the  several  customs  districts  with  such  a  discrimination  made,  I  suc- 
ceeded but  partially,  and  with  a  result  too  imperfect  for  use,  except  in 
one  or  two  pi  rticulars. 

NEWFOUNDLAND  AND  PRINCE  I;D WARD'S  ISLAND. 

Out  of  twenty-eight  collection  districts  from  which  I  have  been  fur- 
nished with  statistics  relating  to  the  last  fiscal  year,  only  five  report 
transactions  with  Kewfouudlandand  Prince  Edward's  Island,  as  follows . 

Imports  in  certain  dintricts  from  Xvnifonndland,  Ccqxi  Breton,  and  Prince  Edward'a  Island 

during  thejincal  year  ended  June  'M,  1870. 


Domestic  exjmrts  from  certain  districts  to  yenfonndhind,  Cape  Breton,  and  Prince  Edward^s 
Island  during  the  fiscal  i/ear  ended  June  30,  1870. 


From  Boston  Ut  XcnvfoHnflland 

Fi'oiii  liostoii  to  I'riiice  FiUvfrnl's  IsliUid 

From  Wiliniii^toii,  N.  C,  (lumber  to  Newfonudlaiid) . 
From  Is  ew  York 


Total. 


?290, 117 

lor.,  ni8 

%  200 

i,r>GT 


408,  Hoa 


The  foregoing  returns  no  doubt  reijresent  most  of  the  trade  carried 
on  during  the  past  fiscal  year  with  the  insular  provinces  named. 

MANITOBA. 


Our  presenv  trade  with  the  great  central  region  of  British  America, 
formerly  know  n  as  the  lied  River  country,  but  now  politically  organized 
and  incorporati'd  with  the  Dominion  of  Canada,  under  the  name  of  the 
province  of  Manitoba,  is  imperfectly  shown  by  the  following  statement, 


ns  with 
'  reason 
3lvea  to 
I  whicU 

L'.tiou  be- 
5sions  in 
i  several 
I'us  from 

),    I    8UC- 

xcept  in 


been  I'nr- 
re  report 
5  follows . 

mVs  Island 


3 

o 
H 


$154,  59(i 

214,  :->ifS 

a,  530 

•20,  00(> 


178         400, 810 


ICC  Edward^H 


«i290,  in 
ior.,918 

2,  200 
1,  5G7 

408,  802 


le  carried 
d. 


America, 
organized 
me  of  the 
itatemeut, 


TRADE    WITH    BRITISH    NORTH    AMERICAN    PKuVINCES.  47 

which  is  furnished  to  me  by  the  coUector  of  customs  at  Pembina,  Min- 
nesota. It  exliibits  for  the  lust  two  fiscal  years  the  imports  entered  in 
and  tlie  exports  cleared  from  the  customs  district  of  Minnesota,  tluonj;li 
which  the  tiade  between  the  United  States  and  the  Manitol)a  country 
necessarily  passes : 

1800. 

IMPORTS. 

Imports  entered  for  immediate  consumption $00,  402  02 

Imports  entered  warehouse l.jl ,  «l4r»  22 

Total  imports i;i2  047  24 

EXPORTS. 

Export  of  goods  the  growth,  produce,  and  manufacture  of 

the  United  States ]  74, 013  00 

Exports  of  foreign  dutiable  gcjods 14, 548  0.~) 

Total  exports ],S<),  401  05 

1870. 

niPORTg. 

f  Imports  entered  for  immediate  consum[)tion $34, 190  20 

Imports  entered  warehouse 1  S().  142  57 

Total  iniports 220, 341  86 

EXPORTS. 

Exports  of  dom«\stic  merchandise 152, 596  00 

Exports  of  foreign  dutiable  goods 20, 133  47 

Total  exports 172,  729  47 


The  special  deputy  collector  at  Pembina,  Mr.  N.  E.  ^Nelson,  who  fur- 
nishes this  statement  to  me,  writes  that  the  entire  amount  of  exports  to 
Manitoba,  through  Minnesota,  is  not  represented  in  it,  for  the  reason 
that  large  quantities  of  domestic  goods,  such  as  tt)bacco,  sugars,  sirups, 
gunpowder,  matches,  liquors,  &c.,  are  entered  for  exportation  in  bond 
at  other  districts,  free  of  the  internal  revenue  tax,  and,  simply  passing 
in  transit  through  the  Minnesota  district,  do  not  appear  in  its  returns. 
The  same  is  true  of  a  large  quantity  of  foreign  goods  reexported  to 
Manitoba.  The  United  States  imports  from  that  provisice,  which  con- 
sist almost  Avholly  of  raw  furs  and  buftalo  robes,  are  probably  all  entered 
in  the  Minnesota  district,  since  the  large  shipments  made  by  way  of 
Hudson's  Bay  go  abroad. 

Our  present  trade  with  that  vast  new  region  of  richly  productive  ter- 
ritory in  the  basin  of  Lake  Winnipeg,  which  the  pioneer  forces  of  civili- 


48 


TRADE    WITH    BUITISH   T70RTH   AMKRICAN   PROVINCES. 


V 


!  ;! 


zation  Jiro  just  preparing  to  invade,  is  inconsiderable;  bnt  its  futnre 
possibilities  an*  beyond  calculation.  The  time  is  approaching  very  near 
when  it  is  clearly  destined  to  give  a  new  phase  to  the  (jiiestion  of  rela- 
tions between  this  country  and  British  North  America,  and  when  it  will 
bring  to  bear  upon  that  question  the  pressure  of  an  inexorable  geographi- 
cal necessity,  that  will  compel  it  to  some  solution. 

CONCLUSION. 

In  concluding  my  report,  it  is  proper  tliat  I  should  acknowledge  the 
extreme  courtesy  with  which  I  fiave  been  assisted  in  ju'ocuring  informa- 
tion by  the  mend;ers  of  the  Canadian  government,  and  by  all  of  its  offi- 
cials, as  well  as  by  those  of  this  Goverumoutj  to  whom  I  have  had  occa- 
sion to  apply. 

Kespectfully  submitted. 

J.  N.  LARNED. 

Hon.  Geokge  S.  Boutwell, 

Secretary  of  the  Treasury. 


-'Wi'' 


■  a  V-  ■■•_:■:■■■■  i  y<. 


If 


8  future 
eiy  iH'nr 
of  rehi- 
on  it  will 
ographi- 


led^e  tlio 

iiiforina- 

f  its  offi- 

lijid  occa- 


RNED. 


If*     ■   X 


9 


